If you haven’t noticed lately, risk management is going through a global transformation wherever you look!
The COSO ERM framework is being revised with a new tagline, Enterprise Risk Management – Aligning Risk with Strategy and Performance. Dennis Chelsey, PwC’s Global Risk Consulting leader and lead partner for the COSO ERM effort recently stated, “Enterprise risk management has evolved significantly since 2004 and stands at the verge of providing significant value as organizations pursue value in a complex and uncertain environment.” Chelsey goes on to state, “This update establishes the relationship between risk and strategy, positions risk in the context of an organization’s performance and helps organizations anticipate so they can get ahead of risk and embrace a mindset of resilience.”
Additionally, the ISO 31000:2009 risk framework is being revised. “The revision of ISO 31000:2009, Risk Management – Principles and Guidelines, has moved one step further to Draft International Standard (DIS) stage, where the draft is now available for public comment,” according to the International Organization of Standardization’s website. As explained by Jason Brown, Chair of ISO’s technical committee ISO/TC 262, Risk Management, “The message our group would like to pass on to the reader of the Draft International Standard is to critically assess if the current draft can provide the guidance required while remaining relevant to all organizations in all countries. It is important to keep in mind that we are not drafting an American or European standard, a public or financial services standard, but much rather a generic International Standard.”