How does The Walt Disney Co. handle its risks? By considering risk "at both the business-unit level and from an enterprise-wide point of view," says Tim East, the entertainment giant's director of corporate risk management.
His advice to risk managers starting an ERM program? "To be effective, ERM needs to reflect the unique culture of the organization," East says. "Enterprise-risk management won't come in a box or software program."
East, a member of NU's Risk Managers Advisory Board, adds that to be effective, risk managers "must pull back and consider how an ERM program will work inside their business."
But just because each ERM program needs to be tailored to a company's unique culture doesn't mean those risk managers just embarking on an ERM risk initiative can't learn from their more experienced peers.
"Talk to other risk managers and see what they have done—it helps to know how others have managed the complex issues that ERM brings out," East says.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.