Enterprise Risk Management (ERM)

A comprehensive approach to identifying, assessing, managing, monitoring, and reporting on risks across an entire organization. ERM considers strategic, operational, financial, compliance, and reputational risks within a holistic framework rather than addressing risks in silos. In contrast to earlier risk management approaches that focused narrowly on insurable or financial risks, ERM emerged in the early 2000s to provide a more integrated perspective. RBPM builds on ERM concepts, particularly in its emphasis on linking risk management to strategy execution.