Every company’s risk profile is directly related to its specific ambitions. Yet, curiously, many companies often make the mistake of pursuing a standardized enterprise risk management framework, incorrectly assuming that one size fits all. This ERM methodology is typically driven by a company’s industry or geography and the respective benchmarking or framework information available.
By following this tack, companies typically fail to discover the best course for managing risks that, if viewed differently, could significantly improve their financial performance. Or worse, they head down a compliance-driven path that is timeconsuming and, in the end, adds minimal value to the bottom line.