Enterprise Risk Management Services

Overview

We help clients design and implement integrated risk-management solutions and bring a risk-reward perspective to strategic decision making and day-to-day operations. While Enterprise Risk Management (ERM) involves a series of activities, at its core, it is about proactively identifying, assessing and managing risks that could impact an organization’s ability to achieve its objectives. In particular, those principal risks that may derail a business entirely, dimmish performance, disrupt operations, reduce revenue or tarnish a reputation. The UK Corporate Governance Code 2024 describes them as risks that might threaten the company’s business model, future performance, solvency or liquidity and reputation. Our systematic approach to ERM focuses on the following interrelated key dimensions:

Strategic boldness

Spectacular growth in today’s opportunity-rich but volatile business landscape is increasingly shaped by an organisations’ capacity to take bold and informed decisions amid uncertainty. In particular where resilient leadership thrives at the crossroads of vision and vulnerability and where the adoption of calculated risks as opposed to reckless gambles is a strategic imperative. We support well considered decision making through risk-based option analysis and scenario planning based on risk identification and analysis.

Building investor confidence

Investors are the lifeblood of any business. They provide the necessary capital to fund expansion, innovation, and operational improvements. In particular their vital financial contributions enable companies to invest in new markets, develop products, enhance IT infrastructure, fuel growth and strengthen their competitive position. While investors have traditionally focussed on consistent and strong financial performance, based on maintaining healthy profit margins, steady revenue growth and efficient capital management, given the uncertainty on the world stage, they are increasingly focused on a business’s understanding of their context. The primary concerns of investors revolve around monitoring the activities and effectiveness of the management team in terms of their proactive approach to managing risk. They are acutely interested in a company’s comprehension of the risk landscape and their approach to risk management. Hence while companies seeking to attract investment must showcase their potential, at the same time they must also demonstrate a clear understanding of the threats associated with the opportunities they are pursuing. We support companies articulate their context and risk landscape to demonstrate risk exposure awareness in a rapidly changing business environment.

Risk transparency and disclosure

We help our clients identify and analyse their principle and emerging risks and formulate SMART response actions. We accomplish through a combination of tools and techniques representing leading risk management practices. Specific attention is given to supporting the realization of opportunities through the identification and assessment of their risk profile. We prepare principal risk descriptions and a preamble which sets the scene for the risks themselves and their movement in exposure.

Risk appetite and ownership

We support companies select their risk appetite and tolerance levels together with the preparation of a risk appetite statement and policy. We establish a risk management structure and the identification of risk owners for individual opportunities and risks to support a proactive approach to response planning.