ERM departments and business units both drive risk management: Economic capital models offer common ground

"Insurance companies' business units and enterprise risk management (ERM) departments need to jointly contribute in order to leverage the benefits of economic capital models (ECMs) so that risk-based financial management is pushed through the entire organization.
ECMs are becoming standard fare at insurance companies, although the degree to which they are embedded in risk taking and risk oversight activities is more variable. Depending on the ECM's design, it has the ability to provide value in shaping a broad array of risk decisions, as the figure below shows. Participants in Towers Watson's 2012 Global ERM Survey suggest that their models currently support a number of key business decisions spanning various business functions and that expanded usage is planned for the future."