Enterprise risk management (ERM) is a framework for managing organizational risk. Organizational risk is a broad term. It can encompass concerns ranging from ensuring employee safety and securing sensitive data to meeting statutory regulations and stopping financial fraud. Risk can be internal, such as equipment malfunctions, or external, such as natural disasters. What is considered risk varies from one entity to another. Hence, risk management responses do two things: protect the enterprise from harm and create opportunities to improve business performance.

But what is an ERM framework? With a number of enterprise risk management frameworks available, knowing which to choose can be a challenge. How do you determine the best ERM framework? And how do you implement your chosen framework?

Risk management helps to enable business continuity and formed key part of ERM process. Business Continuity Management (BCM) is a management process that businesses use to identify potential threats and plan ahead in case those threats are realized, ensuring that the company can meet on its obligations to customers, suppliers, and employees.

As companies strategically manage risk by rapidly identifying, prioritizing and responding to risks wherever they originate, here are some key actions that will help to accelerate the ERM adaptation process.