Introduction

Amidst the backdrop of ongoing global challenges—ranging from civil unrest, fluctuating energy costs, unprecedented natural disasters, unstable financial markets, to geopolitical and economic uncertainties—the need for robust navigation strategies is more crucial than ever. Many organizations have adopted an Enterprise Risk Management (ERM) strategy, recognizing the necessity to consolidate and prioritize risks that were once handled separately throughout the company.

This course on Advanced ERM takes a deeper dive by assessing risks through the lens of business relevance, allowing for the emergence of a refined risk understanding and the application of targeted controls that address core business priorities. Essentially, the shift moves from mere risk avoidance to a focus on strategic value generation.

Course Objectives

• Deploy diverse and effective techniques for risk identification and evaluation.
• Create tangible value by synchronizing the ERM framework with the organization's performance goals.
• Involve executive boards in detailed enterprise risk scenario analyses.
• Promote a risk-aware culture that balances value creation with risk mitigation.
• Define clear ERM responsibilities across all organizational levels, from leadership to operational staff.
• Establish Key Risk Indicators (KRIs) for each business unit.
• Link risk management strategies directly to the achievement of business objectives through performance targets.

Target Audience

• Chief Risk Officers and Risk Managers
• Directors and Managers overseeing risk management functions or processes
• Leaders of Internal Audit and Assurance Functions
• Senior Finance Executives

Course Outline

Day1: Elevating Enterprise Risk Management

• Attributes of an Advanced ERM Strategy
• Focusing on Major Strategic Outcomes
• Global ERM Scenario Exploration
• ERM Structural Roadmap

• Evaluating the Resilience of Your Current ERM Practices
• Conducting a Comprehensive Gap Analysis

• Prioritizing ERM Implementation Steps
• Group Activity: Two ERM case studies

• Leadership's Role in ERM.
• ERM Implementation in a UK Bank

Day2: ERM Risk Measurement Approaches

• Comprehensive Review of Risk Measurement Techniques, including:

• Risk Workshops
• Delphi Method (Expert Analysis) with Practical Examples
• Ishikawa (Fishbone) Diagrams
• Failure Mode and Root Cause Analysis with Case Studies
• Scenario Planning Techniques

• Group Activity: Incident Analysis Exercise

Day3: Advanced Risk Assessment Methods

• Fault Tree Analysis with Practical Examples
• Monte Carlo Simulations for Risk Prediction
• Utilizing Bayesian Networks for Risk Assessment
• Catalog of Potential Emergent Risks – Typically Rare but High Impact
• Crisis Management Strategies

• Understanding Crises and Their Varieties
• Differentiating Incidents, Emergencies, and Crises

• Focus on Key Risk Indicators (KRIs)

Day4: Addressing Complex ERM Challenges

• Navigating Through Risk Register Challenges
• Practical Tips for ERM Success
• Understanding and Defining Risk Appetite and Tolerance
• Integrating ERM into Decision-Making Processes
• Overview of ISO 31000 Standards
• Group Activity: Evaluating Decision-Making Efficacy

Day5: Expanding the Scope of ERM

• Integrating ERM with Assurance and Business Continuity Management
• Motivating Teams for Effective Risk Management

• The Critical Role of Organizational Culture, Communication, and Behavioral Dynamics
• Team Building and Development

• Applying ERM in Projects and Joint Ventures

• Effective Goal Setting Techniques

• ERM Best Practices for Communication

• Group Activity: Testing Listening Skills

• Comprehensive Course Review