Every organisation has a set of business objectives. There are always risks and evolving situations present that could prejudice the meeting of these business objectives and may even prejudice the very existence of the organisation itself. To succeed in business, one has to manage its business risks and situations.
Top C-class management (i.e. CEO, COO, CFO, etc) do look out for presence of risks and changing of situations. But because of their busy work schedule heavy responsibilities, they are not able to always identify and prevent risks of mishaps from occurring. Most employees even in senior and middle management do not place risk management high on their lists of KPIs. Accordingly, the number of process failures increased, as organisations get leaner. These manifest themselves as fire-fighting episodes that result in business disruptions, lower product quality and productivity, and in some cases even causing the demise of the organisation.
Successful organisations succeed because they are have a risk management culture and that they place risk management as integral to their business processes throughout the organisation. This means internalizing a system – a management system that regulates risk management practices by all employees at all business functions. This is Enterprise Risk Management (“ERM”). This takes the burden of risk oversight from the top C-class management and spread it over to all heads of departments who are directly involved with the risks.
Jacob Business Armour, in Singapore, offers professional consultancy on risk management, Internal Controls and corporate governance to clients, including ERM project implementation.
Prospective clients can get in direct touch with Jacob Business Armour for further inquiries. The consultants of the company are fully trained and experienced.