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Risk management hub

Category 1 of 12 – What is risk management

The profession’s Risk Management Board is developing a ‘Risk Management Hub’ for its risk management community in order to centralise high quality risk management knowledge in one place. 

This first section of the Risk Management Hub is an introduction.

You will be able to find everything you need to gain an initial grounding in the discipline, and to be able to answer the question: “What is Risk Management?”. Below you’ll find a curated collection of materials designed to help you gain:  

  • A view of the scale of ERM
  • An understanding of how it is implemented in practice
  • How it needs to develop to be of interest to actuaries
  • How actuaries can contribute to the usefulness of the discipline.

Does ERM make for better business? Does it justify the spend?

Enterprise Risk Management or ERM has been around for about fifteen years. Over that time, it emerges as a management discipline, as these papers demonstrate. Yet the final paper, albeit dates, highlights a lack of rigour that might worry the more theoretical.

The two articles bring in human aspects of risk management. The first summarises important human factors, the second (John Kay is always worth reading) describes how previous risk modelling approaches may have missed the point about risk.

All of which is ably consolidated in Douglas Hubbard’s The Failure of Risk Management. Douglas is very kind about actuaries in risk management. He is also scientific in his puncturing of many common risk management tools and techniques.

Please do email risk@actuaries.com with your views on the material chosen, or suggest better material. 

Papers

Articles

Books

The Failure of Risk Management: why it’s broken and how to fix it, by Douglas Hubbard, 2nd edition, 2020.
(Access eBook after member login to IFoA eLibrary via OpenAthens)

IFoA Library also holds 1st edition, 2009: (Access eBook after member login to IFoA eLibrary via OpenAthens).
 

 

External Bodies

External Material

COSO Enterprise Risk Management – Integrating with Strategy and Performance

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