Cairo From 

COURSE DESCRIPTION:

Enterprise risk management (ERM) is a methodology that looks at risk management strategically from the perspective of the entire firm or organization. It is a top-down strategy that aims to identify, assess, and prepare for potential losses, dangers, hazards, and other potentials for harm that may interfere with an organization’s operations and objectives and/or lead to losses.

COURSE OUTLINE:

Day 1:

Overview of Enterprise Risk Management

Definitions and concepts of Enterprise Risk Management

• Definitions of ERM
• Concepts of ERM
• Why ERM is important for organisational success
• What does ERM encompass
• The benefits of using a recognised model
• Reasons to implement an ERM system
• Roles and responsibilities for ERM:

             i.  Management

            ii.  Board

          iii.  Risk officers / Risk champions

• Accountability for ERM Risk champion job description will be shared

Exercise 1: Key roles in ERM
Exercise 2: Understanding the terminology

Key Elements of Risk Management

Risk, risk culture and risk appetite

• Risk definitions
• Common themes of risk
• The nature of risk
• Gross and net risk
• Positive aspects of risk – should more risk betaken?
• Risk profile
• 4 Steps to develop a risk profile
• Risk dialogue
• The organisation’s risk culture
• Risk culture and the impact on performance
• Reviewing the organisation’s risk culture
• Best practice risk policy will be shared

Exercise 3: Managing risk to achieve your objectives
Exercise 4: Advantages of different risk approaches

Day 2:

Risk management process

• Risk management definitions
• Risk management process
• Importance of effective risk management

Exercise 7: Challenges in controlling and managing risks

Risk identification techniques

• Top down or bottom up
• Risk questionnaires
• Scenario planning
• Stakeholder analysis
• Interviews with key stakeholders
• Risk workshops
• Business analysis tools
• Process analysis
• Monte Carlo simulation

Exercise 8: Steps in scenario planning
Exercise 9: Moon landing - risk workshop

 Risk analysis and evaluation

• Grouping the risks
• Prioritising the risks
• Risk analysis
• Quantitative measurement
• Qualitative measurement
• Risk evaluation
• Risk register essentials
• Key Risk Indicators and Key Performance Indicators

Exercise 10: Evaluating risk registers

Day 3:

8 Principles of effective enterprise risk management

• Design principles:

o   Integrated

o   Structured and comprehensive

o   Customized

o   Inclusive

o   Dynamic

• Operation principles:

·       Best available information

·       Human and cultural factors

·       Continual Improvement

Framework for effective enterprise risk management

• Risk architecture
• Risk strategy
• Risk protocols
• The 6 elements of the framework:

• Leadership and commitment
• Integration
• Design
• Implementation
• Evaluation
• Improvement

Process for enterprise risk management

• Scope, Context and Criteria
• Risk Assessment:

o   Risk identification

o   Risk analysis

o   Risk evaluation

• Risk Treatment
• Communication and Consultation
• Monitoring and Review
• Recording and Reporting
• Terms of reference for a risk committee will be shared

Exercise 13: Delivering an ERM process for your organisation

Day 4:

Key components of ERM

• Governance and culture
• Strategy and objective setting
• Performance
• Review and revision
• Information, communicating and reporting

o   Risk reporting

o   Integrated risk reporting

Exercise 15: Practical risk responses

Module Thirteen: ERM Implementation Factors

• Organizational design of business
• Establishing an ERM organization
• Performing risk assessments
• Determining overall risk appetite
• Identifying risk responses
• Communication of risk results
• Monitoring
• Oversight and periodic review by management

Exercise 16: Communicating risks to those who need to know

Common mistakes when implementing an ERM system

• Not following an accepted methodology
• Scope is too large
• Scope keeps changing
• Timescales are unrealistic
• Absence of the appropriate skills
• Key decisions made with poor information
• Wrong or missing roles in the project
• Lack of project team structure

Exercise 17: Avoiding implementation mistakes

Day 5:

 Action plans for implementation

• Keys to success
• 7 steps to practical ERM implementation
• Activities to strengthen risk culture and practices
• Effective stakeholder engagement
• Coordination from the top to the bottom and end-to-end
• Other considerations:

o   Culture

o   Capabilities

o   Enhancements

• Training and awareness for staff, management, stakeholders and partners
• Coordination of assurance providers to maximise risk reporting
• The role of internal audit in enterprise risk management

Exercise 18: Design a plan for implementation

Different types of risk

• This module will explore risk types in different organizational contexts, including:

o   Strategic risks

o   Operations risks

o   Project risks

o   Procurement risks

o   Process risks

o   Reputation risks

• Appreciating the interaction between different risk types
• Models for categorizing risk

Course assessment

Course assessment will consist of the successful involvement, contribution, and completion of two case studies that will be performed in teams.

Course fees: 3600 US$ PER EACH PARTICIPANT

10% - For 2 nominations

15% - For 3 nominations

20% - For 4 nominations

25% - For 5 nominations