One member noted that 20 years ago, “risk management was [nothing more than] getting a good insurance broker.” Times have changed, and organizational processes have changed too. Companies need to address risk in a more systematic manner, considering changes in risk as well as the interrelationships between risks. The audit committee chair can play a valuable role in making the board aware of these issues by raising the points covered in this document for discussion by the full board.
Read the full paper, published by Tapestry Networks and Ernst & Young.