ERM Approach is Key to Success

Quadrant has been engaged in the design and implementation of effective governance structures in numbers of Financial Service Insitutions, where committee structures and individual roles and responsibilities have been defined clearly to ensure that accountabilities are unambiguously understood. These reflect latest business and regulatory thinking.

Successful Enterprise Risk Management (ERM) starts with a firm’s culture, which requires strong and comprehensive governance across the organisation, It covers all risks (Business, Capital, Liquidity, Credit, Market, Operational Risk, etc) and controls (operational and financial) of the firm, It defines strategic objectives and risk appetite, allocates clear responsibilities, and reinforces  the principle that all employees are Risk Managers. ERM can bring:

• Control
• Transparency
• Stakeholder engagement
• Holistic risk management
• Efficient use of capital
• Performance incentives
• Enhanced value

The benefits can only be delivered with the support of comprehensive and accurate data, which underpins a suite of timely and relevant management reports. This is a non-trivial challenge.

Effective Governance

This comprises:

• Risk management framework
• Risk appetite
• Risk policies
• Methodologies
• Risk management skills
• Organisational learning
• Risk culture