Whenever we provide a demonstration of our software to potential clients we are often asked what we think are the biggest threats to a successful roll out of an enterprise risk management software. There are of course specific idiosyncrasies at each organisation but from a general perspective issues tend to revolve around;
- how can we ensure the training process goes smoothly?
- who do we need to involve?
- who should have bought in to the ERM concept?
- what level of complexity is needed?
- do we need a senior sponsor?
A study has recently been published by the Poole College of Management (NC State) that addresses this precise issue of how to maintain a lasting ERM process. It contains a number of real world case studies and some great advice. Here is an excerpt from the study’s pre-amble.
“Implementing Enterprise Risk Management within an organization can be challenging; it can be even more difficult to create the traction necessary to ensure that ERM will be an effective process over the long run. This case study, which was developed by four NC State graduate students completing coursework in ERM, delves into the key factors that have enabled six organizations to sustain an ERM process over a period of time.
The ERM processes evaluated have been employed from five to fifteen years and are a critical part of the way each entity operates. The report includes a separate appendix for each organization summarizing the key steps in its ERM process, as well as the success factors that enabled the organization to sustain its process.”
The full report can be downloaded here and of course we’d like to acknowledge the hard work of the authors.