Scenario:-Enterprise Risk Management (ERM) report, 100 marks-Maximum 4500 words
You are the newly hired safety professional for a successful and growing organisation. As a safety professional we are taught to first identify the hazards and then develop methods to control them, implement the controls, and monitor the results. Under a traditional approach our concern might be limited to preventing workplace injuries and illness claims. Under an Enterprise Risk Management model, we would still be concerned with claims, but would analyze the hazards considering the additional types of risk listed above. From a reputational risk standpoint, an illness claim in which a person dies would most likely result in negative national media attention which would most likely adversely affect sales. While insurance may cover the actual claim costs, the negative press could impact the organization’s ability to fulfil its vision, thwart expansion into new markets, or even jeopardize its ability to stay in business. The development of a robust safety program will not only help prevent this type of claim from occurring, but if a claim was to occur, it will help mitigate the impact on the organization’s reputation. The above example illustrates that while some may see safety regulations as “just another regulatory compliance program,” an organization has a strong incentive to allocate resources to it that go beyond minimum compliance efforts when the program is viewed from an ERM perspective. The challenge safety professionals face lies in demonstrating how their activities support the overall mission and strategic objectives of the organization.
For the above scenario, you are asked to choose any organisation (real and existing) which fits the description and develop an ‘Enterprise Risk Management report’ (by answering the questions given below) to highlight Risk based safety programs and all relevant aspects of risk management. This is done in an effort to make your safety team fully understand their roles in Enterprise Risk Management and traditional risk management.
0 comments