Enterprise Risk Management (ERM) Framework
By: A Staff Writer
Updated on: Jul 19, 2024
What: An approach embedding risk management into all aspects of the business, not just treating it as a separate function.
Who: Various frameworks exist (COSO, etc.). Entrepreneurs should choose one aligned with their industry and risk appetite.
Why: Makes risk a strategic conversation for entrepreneurs, helping prioritize resources and avoid costly surprises.
When: As your company grows more complex. Ideally a mindset from the beginning, but even startups can benefit from structured risk thinking.
How:
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- Starts with leadership buy-in. It’s a culture shift, not just a checklist.
- Tie risk discussions directly to your business objectives.