With increasing regulatory, rating and economic pressures, many companies are adopting an Enterprise Risk Management (ERM) approach to establish corporate risk governance, consolidate risk information at the enterprise level and make risk-informed decisions. Central to our approach is the belief that ERM actions should be guided by the enterprisewide impact of risks on shareholder value and enable rewarded risk-taking. This approach makes the quantification of value central to all aspects of the process and results in ERM activities that enhance shareholder value.

Advantages received by companies adopting this approach include the ability to:

• Manage expected volatility (risk exposure) within an acceptable range (risk appetite) 
• Focus limited resources on risks with largest potential impact on value
• Manage risk to strategic growth
• Make better risk-reward decisions by quantifying the potential impact on value
• Potentially hold less required capital
• Enhance stakeholder views of company’s risk management capabilities

Learn more about our Enterprise Risk Management practice.

Learn more about our Insurance practice.