ABSTRACT
In the summer of 2017 Committee of Sponsoring Organizations (COSO) released new enterprise risk management (ERM) guidance. The title of that guidance is “Enterprise Risk Management: Integrating with Strategy and Performance”. The harsh reality is that few ERM frameworks in the world today integrate risk management with strategy and performance in any significant way. COSO doesn’t state this fact as bluntly and clearly as it should. This article proposes five reasons why progress has been so slow. Having looked at handicaps to realizing the new COSO vision, objective centric ERM is proposed as the way forward with the business case for change.
Acknowledgment
As originally published at projectriskleader.com and reproduced with permission from OCEG.org.
Additional information
Notes on contributors
Tim Leech
Tim Leech, FCPA, CIA, CRMA, is Managing Director at Risk Oversight Solutions Inc. ROS focuses on helping companies implement objective-centric ERM and internal audit to meet escalating board risk oversight expectations and add real value. He has over 30 years of global experience in the board risk oversight, ERM, internal audit, and forensic accounting fields, including expert witness testimony in civil and criminal proceedings. Leech has provided training for hundreds of thousands of public and private sector board members, senior executives, professional accountants, auditors, and risk management specialists in Canada, the U.S., the UK and EU, Australia, South America, Africa, and the Middle and Far East. He has received worldwide recognition as a pioneer, thought leader, and trainer. His article “Reinventing Internal Audit” featured in the April 2015 issue of Internal Audit received the 2016 Outstanding Contributor award from the IIA. He is a regular contributor to Ethical Boardroom and Conference Board Director Notes.