Risk Identification and Assessment

Risk Identification and Assessment

Effective risk identification and assessment helps your business achieve its business objectives by focusing on two key goals:

• Identify and categorize risks across the enterprise, and
• Measure the intensity of the elements that drive each risk and assess the business' exposure to these elements.

Comprehensive business and industry-specific risk inventories provide risk identification and assessment scaled for the mid-size clients we serve. This framework considers four global categories of enterprise risks:

• Strategy — Risks that could impede or prevent the achievement of "high-level" performance goals tied to business' mission statement, business plan, or organisational purpose.
• Operations — Risks that impede or prevent the effective use of resources to execute business strategy.
• Finance — Risks that prevent accurate financial reporting, both internal and external. However, ERM methodology includes the financial management reports used to make business decisions.
• Compliance — Risks that impede or prevent your business from meeting requirements under contracts, laws, regulations, and other generally accepted standards. These risks are specific to business' requirements.