What is ERM?

What is Risk Management?

Discipline around the art and science of choice, that strives to optimize the deployment of finite resources to unlimited opportunities.

What is Enterprise Risk Management?

A process that facilitates bilateral communication among key decision makers, enabling ever more effective and timely decisions and optimizing the achievement of the organization’s most important strategic objectives.

What does the Chief Risk Officer do?

The Chief Risk Officer manages the design and operation of ERM Program:

  • Responsible for developing and maintaining foundational risk register and objectives needing risk assessment.
  • Coordinates and Chairs activity of the ERM Committee (ERMC).
  • Facilitates development of seven part risk assessment process for prioritized risks and objectives.
  • Facilitates remediation of excessive residual risk.
  • Provides regular reporting to the ERMC, Chancellor, ACERM, and UNC System Office on ERM Program operations.

What resources are applied to ERM at Charlotte?

  • Charlotte has one dedicated FTE, the Chief Risk Officer, deployed to maintain and execute the ERM Program. The Chief Risk Officer reports directly to the VC of DII and General Counsel. See the Governance page for more information on ERM Program deployment.

How is ERM Different from Operational Risk Management?

Enterprise Risk ManagementOperational Risk Management
Strategically Focused: Addresses any risk that threatens the achievement of the entity’s objectives. Operationally Focused: Insurable risk focused; Balance sheet protection; Project Administration
Key Processes: Identifying strategic risks. Work with risk owners to determine acceptable levels of risk. Provide advocacy and accountability. Key Processes: Identify insurable risks, obtain insurance coverage, and process insurance claims. RMI also performs contract review, minor and drone oversight, and advises on claim prevention.
Key Outputs: Executive and Board reporting on: Key risks; Acceptable levels of risk; and Retained risk. Advocacy on behalf of risk owners to ensure acceptable levels of residual risk are achieved. Key Outputs: Optimized insurance limits and deductibles. Quickly obtaining cash from insurance claims.