“I have read nearly every book related to this topic, and I heartily recommend this one. This could well be the only ERM book you will ever need.”
—Dave Ingram, CERA
Senior Vice President, Willis Re
Former leader of Standard & Poor’s insurance ERM evaluations
“This book is highly accessible…it a highly practical guide for those who want to understand ERM without getting lost in technical jargon.”
Chief Risk Strategist, Bloomberg
“In my nearly two decades as a board member, chief risk officer, and chief audit executive, I’ve been presented with many risk management frameworks, but this is the best I have seen.”
—Leslie Bauer, CPA
Vice President and Chief Risk Officer, ARC
“Segal, one of the world’s leading authorities on managing risk, provides a comprehensive and practical guide to ERM strategy and implementation. It is essential reading for anyone concerned with managing risk and return.”
—Garrett Van Ryzin, PhD, SM, BSEE
Chair of Decision, Risk, and Operations Division
Columbia Business School
While enterprise risk management (ERM) programs have a great deal of potential, traditional ERM approaches often struggle to generate sufficient buy-in from internal stakeholders. Corporate Value of Enterprise Risk Management responds to this challenge with a value-based ERM approach that transforms ERM into a strategic management process that enhances strategic planning and other business decision making.
Demystifying the complex and wide-ranging topic of ERM, this practical guide is informed by the author’s twenty-five years of professional experience in this arena and introduces 10 key ERM criteria as a foundational element to evaluate the robustness of any ERM program.
Filled with case studies illustrating key elements of the value-based ERM approach, this insightful book reveals:
- How to generate sufficient buy-in for your ERM program
- Ten key ERM criteria for evaluating the robustness of an ERM program
- Techniques to avoid the five common mistakes in risk identification
- Secrets to quantifying all types of risks, whether strategic, operational, or financial
- How to clearly define risk appetite and quantify it for use in the risk governance process
- How to integrate ERM information into decision-making processes
- How to use ERM to correct a critical flaw in balanced scorecards
- How to apply ERM to nonprofit organizations, government bodies, and individual
- The failures of bank risk management practices that contributed to the financial crisis.
Disastrous events both man-made and natural, as well as pressures from shareholders, bondholders, directors, rating agencies, and regulators have raised management’s awareness of the need for an integrated approach to managing risk. With an important chapter evaluating bank risk management practices in light of the financial crisis that began in the United States in 2007, Corporate Value of Enterprise Risk Management provides timely direction for the risks your organization faces.
SIM SEGAL, FSA, CERA is President and founder of SimErgy Consulting, which provides ERM consulting services and executive education seminars. With 30+ years of experience in measuring and managing risk, Segal is a globally-recognized ERM thought leader with experience in a variety of industry sectors, such as insurance; banking; credit cards; technology; consumer goods; biotech; telecomm; hospitality; energy; services; timberland; education and research; non-profit organizations; and government agencies. Segal also serves as director of ERM programs at Columbia University. He has also led and coauthored ERM research studies.
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