What does the acronym 'ERM' stand for?

The acronym 'ERM' stands for Enterprise Risk Management. This concept involves a comprehensive approach to identifying, assessing, managing, and monitoring risks that could potentially affect an organization's ability to achieve its objectives.

Enterprise Risk Management encompasses various types of risks, including financial, operational, strategic, and compliance risks. This holistic framework allows organizations to integrate risk management into their overall strategy and decision-making processes, thereby enhancing their ability to navigate uncertainties effectively.

By focusing on enterprise-level risks rather than isolated incidents, organizations can develop better strategies for mitigation and resilience. This approach fosters a risk-aware culture within the organization, promoting proactive rather than reactive management strategies that align with the organization's goals and risk appetite.