Hurricane Katrina, the August 2003 blackout and the Enron scandal have made it clear that the energy industry is indeed vulnerable to the perils of natural disasters, human errors and failures in corporate governance. These and many other examples of risk events and their consequences have made the case for energy companies to adopt a more integrated and comprehensive approach to addressing risk in their organizations.

This report acknowledges the substantial effort that has been directed toward developing enhanced approaches to ERM in the energy industry but asserts that improvement is still needed. Although traditional risk management practices may have served the industry well in the past, the scope, complexity and interdependencies of emerging risks have compelled the industry to embrace ERM more deeply and to design and implement more robust risk management methods—in short, to become more risk intelligent.

As the third title in the Risk Intelligence series, the report focuses specifically on trends, issues and challenges to building Risk Intelligent enterprises in the energy sector but contains lessons for executives in all industries. Learn more from the full report attached below in PDF format: