Wednesday, 15 January 2014

What Enterprise Risk Management Is Exactly All About.

Ok the good news is that the ones who are using enterprise risk management programme are really started getting some transaction. More and more people are talking about it, the regulators are encouraging it(read: requiring it) and more and more articles are being written about it. And thats all too good the actual problem comes here. The vast majority of population still have no idea of what enterprise risk management is actually all about and how it actually looks like.

Cisco has defined Enterprise risk management software as a process that is effected by an entity board of directors, management and personal, applied in the strategy setting and across the enterprise, that is designed to identify all the potential events that would affect the entity and manage the risk within its risk appetite, providing reasonable assurance regarding the achievement of all the entity objectives. Ok now when this was the definition for erm software, what is erm i still dont know.


Its so easy when we develop a management technique and give it a name when we come up with a name and then try to engineer the technique. You would end up with different techniques and opinions on what looks like and more on how you should build it. Ultimately this is not that great approach. So if like all others you have read each and every scrap of english literature and find your self still saying what exactly erm software is all about take heart and you are in a very good and a good company.

The big problem is that with so many definitions and descriptions that you read is that they are already ignoring the simple fact managing the risk fact that the enterprise risk management is very very complicated. Risk comes in thousand forms and risk management will always be comprised of many elements in short. In short the enterprise does not mean one central system. It means we understand and manage how these pieces fit together and it is this that is actually missing.In this piece of content i have endeavoured to look at erm as a brutally honest and practical perspective as much as possible. And i hope that it would give some of the best concrete points to think about the erm programme. To know more on erm software visit us at

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