Enterprise Risk management in Website Promotion
by Ravindra iwari
The goal of Enterprise Risk Management is to identify, evaluate and manage key risks impacting an organization's ability to achieve its objectives and strategies. For managing risk logical step will be assess it. Assessment of Risk involves simple three steps
- Assessment of Gross Risk- This is quantum of inherent risk which any process have. Generally this can be quantified as Risk which process has without application of Risk Mitigation measures. This is determined on the basis of influence of External and Internal Environment factors. Gross Risk is assessed in terms of impact and Frequency.
Impact can be assessed on scale of 1 to 5. Some objective criteria may be defined to assess the Risk. For example if probable loss on account of any event is less than or equal to $ 10 then Risk will be 1 .If it is more than $ 10 but less than or equal to $ 100 then it will be assessed as 2 and so on...
Frequency can also be assessed on scale of 1 to 5 .For example probable no. of events causing Risk is 2 or less then2 then Risk will be 1. If probability is more more than 2 but 5 or less then 5 then Risk will be 5.
After that Combined Gross Risk score is arrived by combining impact and frequency score on some predefined logic
-Assessment of Control - Controls are designed and applied to mitigate the gross Risk up to tolerable level. Controls are assessed on two parameters 1. Design Effectiveness- It is measurement which describes how well control measures are defined. It can be measured on scale of 0 to for example if no controls are designed then it can be given score of 0. If quality 0f control design is moderator then it can be given as 1 and so on ...... 2. Operative Effectiveness- It is measurement which describes how designed controls are working. It can be measured on scale of 0 to 4. For example if is not working at all then it can be given 0 score. If it is moderately working then it can be given as 1 score and so on... After that Design Effectiveness and Operative effectiveness scores are combined to arrive at Control score on some predefined logic. -Assessment of Residual/Net Risk- This is quantum of Risk which any process have after application of Risk mitigation measures. .Control score are subtracted from Gross Risk Score to arrive at Net Risk Score. Again Net Risk will always be 1 or more than 1 because there will always be some residual risk in any process
We have one innovative Enterprise Risk Management software for you organization .Main features of this software are as follows
1. This is a unique software in world because it automates Audit, Risk and Compliance Functions simultaneously It provides comprehensive CAR Score (Compliance, Audit and Risk Score) for all functions of organization. 2. CAR Score helps in assessing each function of organization on Compliance, Audit and Risk criteria. CAR Score is again weighted average score of (a) Compliance Score (b) Audit Score (C) Risk Score these individual Scores (i.e. Compliance, audit and Risk Score) represent residual Risk for each function on the basis of their respective checklists. 3. This software has unique method of scoring and logical structure for scoring is as follow.
