1. column
  2. Top Line

Boards Driving Enterprise Risk Management

Please note: This item is from our archives and was published in 2008. It is provided for historical reference. The content may be out of date and links may no longer function.

Related

TOPICS

More than half (55%) of risk, audit and finance executives said their corporate boards are leading ERM (enterprise risk management) programs, up from 49% in 2004, according to a report from The Conference Board.

One-third of participants serving a core business function—legal, CFO, CEO or corporate board member—considered ERM to be of critical importance to their business.

But efforts to implement ERM programs are still in early stages, such as creating a risk inventory and the assessment process. ERM maturity is the greatest in select industries, including financial services, energy and utilities, but the health care sector has seen rapid growth in ERM in recent years.

The report, sponsored by Oliver Wyman, a global management consultancy, is based on a survey of executives of 200 companies and is available at www.conference-board.org . For more information on the standards and responsibilities associated with ERM, see “Enterprising Views of Risk Management,” JofA , June 04, page 65.

Source: Risky Business: Is Enterprise Risk Management Losing Ground? , The Conference Board, www.conference-board.org , and Oliver Wyman, www.oliverwyman.com.