Enterprise Risk Management as a service

Organisations face a wide spectrum of risks, including geopolitical tensions, talent shortages, economic challenges and regulatory change. Risk management functions need to be able to synthesise, analyse and articulate a broad range of risks to ensure stakeholders can make informed decisions.

The 'ask' and expectation of risk management functions is increasing against a backdrop of cost awareness. This has led to a renewed focus on the operating models of ERM functions, ensuring the appropriate capability, capacity and experience is available to respond quickly to organisational demands, and deliver the insight and intelligence required to make effective decisions.

Key Challenges

Some of the common challenges we identify include:

1. Experience: As organisations and their strategies develop, their risk landscape increases in complexity. They must be able to identify, assess and respond to a wide variety of risks, but may not have the necessary experience internally to effectively deliver on this. 
2. Reporting: Routine risk management reporting, and the development of inputs into governance invariably results in ‘crunch’ periods for risk teams.
3. External Perspective: Organisations often lack a wider industry or sector view when discussing contemporary and emerging risks, or do not have access to the appropriate subject-matter experts and horizon-scanning technologies. This may potentially lead to key areas of risk not being identified.
4. Resource constraints: Effective ERM requires a suitable level of resource time, capability and experience to deliver required value. However, many firms face constraints in this regard due to restricted funding or under-investment.
5. Specialist Capabilities: In-house teams may not have experience in the application of specialist risk identification and assessment techniques, including stress-testing, scenario planning and horizon scanning. This can limit the level of insight delivered to organisations.

ERM as a service

The optimisation of ERM operating models enables risk management functions to continue to deliver confidence to stakeholders.

To meet the challenges outlined above, we have launched our ERM managed service, which centres on providing ongoing and flexible support to risk management teams. We can provide a combination of resources to supplement delivery in a cost-efficient manner, focussing on periods of increased demand on your function, whilst also providing access to subject-matter expertise and our most up-to-date insights.  This gives valuable time back to risk management teams, providing capacity to focus on more value-add areas.

Through consideration of the longer-term aspirations of your function, our resourcing support can be adapted over time, ensuring your internal capability can be developed in parallel, whilst your organisation continues to benefit from the insight and risk management support it requires.

Core ERM as a Service activities include:

• Update and refresh of internal risk data
• Periodic Board / ExCo reporting
• Facilitation of risk identification sessions
• Ad-hoc call-off support

Additional Activities:

• ERM infrastructure/framework development
• ERM maturity assessments
• Risk management training
• Principal risk assessments
• Emerging risk assessments and horizon scanning
• Risk appetite definition
• Scenario planning
• Stress testing

In addition, we can leverage our suite of intuitive technology solutions to streamline risk identification and assessment; automate workflows; track indicators, and more. Interactive dashboards provide real-time updates on developing risk areas, allowing for more timely responses. 

To find out how we can support your organisation, please get in touch.