What are the typical responsibilities of ERM teams?

What are the typical responsibilities of ERM teams?

1. Risk Identification: ERM teams are responsible for identifying and assessing potential risks that could affect the organization. This includes identifying risks that are specific to the organization as well as those that are more general. Risk identification involves gathering data, analyzing that data, and making informed decisions about potential risks.

2. Risk Assessment: ERM teams are responsible for assessing the potential impact of identified risks. This includes analyzing the likelihood of a risk occurring, the potential financial and operational impacts, and the potential for reputational damage.

3. Risk Mitigation: ERM teams are responsible for developing and implementing strategies to mitigate identified risks. This includes developing plans to reduce or eliminate the potential impacts of a risk, as well as developing strategies to transfer or share the risk with another party.

4. Risk Monitoring: ERM teams are responsible for monitoring the effectiveness of risk mitigation strategies. This includes regularly assessing the risk environment, evaluating the effectiveness of risk mitigation strategies, and making adjustments as needed.