ABSTRACT
This conclusion presents some closing thoughts covered in the preceding chapters of this book. The book proposes a more integrated style of risk management that addresses firm-level strategic risks. Enterprise Risk Management (ERM) is the process used to manage risks and a good outline of its techniques is provided in the internationally acclaimed Australian Standard on Risk Management which is designed as 'A generic guide for managing risk may be applied to a wide variety of activities, decisions or operations'. A powerful technique that can be applied by the Chief Risk Officer (CRO) is introduction of Key Risk Indicators (KRIs) that monitor risks and their leading indicators. Dire risks based on 'catastrophe science' generally prove welcome for their shock value, and because many groups expect them to catalyze their desired changes. There is a general tendency towards decentralization that has militated against central analysis and monitoring, and hence tended to miss systemic risks.
