Chief Risk Officer & Enterprise Risk Management – How to Expect Unexpected
|Year of publication
|Article in Proceedings
|Proceedings of the 1st International Internet & Business Conference
|MU Faculty or unit
|Management and administrative
|risk management; risk management process; chief risk officer; CRO; ER;
|The recent crisis has highlighted many failures in traditional economics attempt to explain the way how market behaves. Hereby I would try, primarily using the theoretical approach, to bring you closer problematic and actuality of Chief Risk Officer and Enterprise Risk Management. One of the goals of the following few pages is to emphasize importance of these two categories and the increasing relevance of aforementioned. The objective of risk management is to reduce different risks related to a pre-selected domain to an acceptable level. Recent surveys showed that 39 % of the companies have already introduced CRO position. The question is should the rest follow them? Further, ERM system considers a variety of risk and their influences on overall firm’s performance. Which specific benefits could the company expect of introducing ERM?