Operational Risk Management AwarenessLearn Management Articles on management-info.biz. Operational Risk Management Awareness article will help answer your questions on Management Articles.We at management-info.biz specialize in Management Articles. Management Articles at management-info.biz provides the most up to date news and articles. If you have questions please do not hesitate to contact us.
The new regime of Sarbanes-Oxley, under the direction of the Public Company Accounting Oversight Board (PCAOB) which is in turn accountable to the Security and Exchange Commission (SEC), has undoubtedly benefited the business world by providing a foundation from which to decrease corporate fraud. However, the complexity and associated technical, labour and administrative costs posed to business is also considerable. The realities of both individually large and collectively mundane errors resulting in loss, as well as the newly regulated reporting of those losses, affect virtually all areas of every business each and every day. Therefore, it is in each company's best interest to simultaneously find ways to cut losses while keeping regulatory compliance costs down. Hence the rebirth of Operational Risk Management/Enterprise Risk Management and the new demand for Risk Management software solutions. Traditionally, few operational losses were measured in any accounting system, and rarely were the loss incidents tracked and analyzed in any way; the time and paperwork required to do so was simply daunting. Because there was no standard legislation in place, any Risk Management software tools were often proprietary and slightly more than electronic log books at best. New technologies and attitudes have allowed loss incidents to be seen as more predictable and able to be grouped into risk categories. Proper analysis of these incidents can result in attribution to root causes which aids in mitigation. Even this beginning leads to dramatically reduced costs while achieving huge gains and strategic advantages from well crafted Operational Risk Management policies and Enterprise Risk Management procedures. Changes in legislation, technology and attitudes related to ORM/ERM have produced not just economic gains, they have led directly to re-invigorated business innovation and even created improvements in the quality of life. For example, safety, quality and environmental related loss incidents have proven to be not only manageable and avoidable, but sound management of these issues has conferred greater advantage on those who succeeded while driving many who did not adapt out of business. While large scale corruption may have brought about regulatory changes, these changes have spurred a re-visioning of Enterprise Risk Management. Advanced Risk Management software has allowed business to more directly mitigate losses. This has resulted in a cleaner, more efficient and more competitive business environment.
In the post-SOX environment, the same social and political pressures on organizations are present. Improved attitudes and tools have encouraged the proliferation of sound Operational Risk Management to the economic and strategic benefit of those properly prepared for the journey. To find out how Paisley Consulting can help your company on that journey, whether through the provision of powerful Risk Management software or expert consultation on Enterprise Risk Management, visit www.paisleyconsulting.com.
|
More Articles:1. Personal Leadership: One Key to Growing Any Organization What did Winston Churchill, Lee Iacocca and Bill Gates have in common? Certainly they were great personal leaders who knew what they wanted and how to get it. However, they didn't succeed because they had great personal leadership qualities. They succeeded because they understood the importance of hiring managers who also possessed personal leadership skills. These leaders built an environment in which leadership qualities flourished in all employees. As each employee reached new heights of achi… 2. MEXICO MANUFACTURING > Mexican Manufacturers .. Products Made in Mexico .. Discover the Low Cost Source MEXICO MANUFACTURING > Mexican Manufacturers .. Products Made in Mexico .. Discover the Low Cost Source BY.- http://www.Mexico-Store.com Mexican products have become big sellers in every country of the world. The total value of Mexican products that are imported into the US alone exceeds the billion dollar mark by far. Thanks to their low cost, quality and uniqueness, most Mexican products can be resold for high profits. It's not uncommon for American and European traders dealing in Mexic… 3. Why Six Sigma Will Work in Service Environments By Peter Peterka Although Six Sigma has its roots in manufacturing, it works just as effectively in service industries. It's no secret that service environments, such as financial organizations, healthcare providers, retail companies, and hospitality organizations have a harder time applying Six Sigma principles. However, the core principles of Six Sigma allow it to cost-effectively translate manufacturing-oriented Six Sigma tools into the service delivery process.Service organizations have different root caus… 4. Building A Practice On Purpose Series Part #1 - Blueprint For Building A Practice On Purpose By Brad Swift Have you ever seen a skyscraper being built? If so, you know that for the first several weeks or months, very little appears to be happening, at least above ground. That's because the initial work is focused on building a solid foundation. The higher the skyscraper is designed to be, the more solid the foundation needs to be to support all those stories.The foundation of a Practice On Purpose is what I refer to as "Clarity of Purpose," which includes all the components under the ==== line i… |
||||
