Enterprise risk management (ERM) has become a critical practice in organizations that are dedicated to managing uncertainty and its effect on achieving organizational objectives. ERM helps organizations focus on the most relevant risks to achieving an organization's goals and objectives, both from an operational, as well as a strategic, perspective. In this way, risk is linked inextricably with future outcomes.

One of the most challenging parts of ORSA is trying to understand the differences between risk appetite, risk tolerance and risk limits. Some of the resources talk about capacity in these terms as well. This paper attempts to define these terms consistently. This is an area that does not always align with what you expect going in, and not all of the sources use exactly the same definition. It is also evolving over time, so the dates of documents can be important.

Abstract: I recently decided that there was no longer space to store 20 years worth of Accountancy and Accountancy Age. Prior to disposal I reviewed all the back issues for articles of particular note worth saving. In the course of this process, a number of things were striking. First, articles on financial reporting were conspicuous in the 1980s, and in the 1990s it was auditing which seemed to be the main object of discussion. Second, risk and risk management begin to receive regular exposure only from about the mid-1990s onwards.

This report examines current practices and identifies challenges to achieving ERM stakeholder buy-in. It also offers strategies to help overcome these challenges and improve ERM stakeholder engagement.

Conduct is a lens into the culture of organizations, and conduct failings seem to be widespread across several jurisdictions, cut across financial services organizations and involve both the retail and wholesale sides of business. Improving conduct within the industry is an essential part of rebuilding trust and supporting future sustainable growth. Further, the regulatory focus on conduct is expected to persist and firms will continue to face pressure to be alert to poor behavior.

The International Civil Aviation Organization promotes prioritization of wildlife management on airports, among other safety issues, by emphasizing the risk of wildlife?aircraft collisions (strikes). In its basic form, strike risk comprises a frequency component (i.e., how often strikes occur) and a severity component reflecting the cost of the incident. However, there is no widely accepted formula for estimating strike risk. Our goal was to develop a probabilistic risk metric that is adaptable for airports to use.

This article summarises the advice and suggestions put forward by EIOPA with regards to changes for the premium risk capital requirement calculation and in particular with regards to the definition of the volume measure, which has always been a controversial aspect of the Standard Formula and could impact the capital requirements of non-life companies.

Since 2008, catastrophic losses and financial turmoil have deeply shaken the insurance and reinsurance industries. Severe difficulties encountered by sector leaders like AIG and Swiss Re have shed light on the potential fragility of the players, and have increased attention on the subject of reinsurance counterparty risk. This corresponds to the exposure of an insurance company to reinsurer failure and is difficult to assess due to a scarcity of reliable measures. It has long been considered as largely auto-regulated by the insurance market.

The aim of this paper is to empirically study reputation risk management in the US and European banking and insurance industry, which has become increasingly important in recent years. We first use a text mining approach and find that the awareness of reputation risk (management) as reflected in annual reports has increased during the last ten years and that it has gained in importance relative to other risks. Furthermore, we provide the first empirical study of the determinants and value of reputation risk management.

Risk is an inherent property of every project. In many cases, project management and risk management are applied quite independently. The traditional tools of project management do not include the notion of risk and the tools of risk management focus on the representation of risks without explicitly representing the project, which leads to implement the risk management process independently of the project management process.