Over the past decade, many executives have recognized these potential risk management deficiencies and have begun using the concept of enterprise risk management as a way to enhance their organization's risk oversight. Management recognizes that waiting for risk events to occur is too late to address critical risks effectively.

The enterprise risk management (ERM) goal is to create a comprehensive portfolio perspective of the biggest threats to achieving the organization's most crucial goals. The "e" in ERM denotes that ERM aims to develop a top-down enterprise view of all the key risks that could have an influence on the company's strategic goals.

The enterprise risk management process is a crucial strategic instrument for corporate leaders. A key component of the organization's strategic plan should be insights regarding risks during the ERM process. As management and the board have a better understanding of potential risks that may arise in the future, they may utilize that information to build strategies that will allow them to swiftly navigate dangers that may materialize and undermine their strategic success.

So, what does the Enterprise Risk process look like? At JCox CPAs & Advisors we:

Seek to identify strategic risks

• Our analysis will identify your organization's current assumptions and competitive advantages, vulnerabilities, and opportunities that were missed during their initial assumptions.

• Future trends and scenarios will be explored to understand their potential strategic risks.

Interpret strategic risks with visualizations

• Analyze and assess your organizational risks in relation to your strategy by tracking and systematizing their occurrence.

• Drive action and a feeling of urgency by involving key decision-makers in dashboards, workshops, simulations, and technologically enhanced experiences.

• Establish a governance framework that encourages executive ownership and makes it easier to make timely and appropriate decisions.