US risk managers are backing the proposals contained in the Enterprise Risk Management (ERM) draft document completed by the committee of Sponsoring Organizations of the Treadway Commission, the Project Advisory Council to Committee of Sponsoring Organizations (COSO), and PricewaterhouseCoopers LLP. The Risk and Insurance Management Society, Inc (RIMS) says that the document provides the direction for the design and implementation of enterprise risk management in any organisation concerned with managing risk effectively.
COSO began the project in January 2001 with a goal of supplying organisations with information on how to identify, assess, build, and coordinate a risk management programme on an enterprise-wide basis. The programme comprises eight components of risk management, with an emphasis on the ability to use it in organisations of any size.
RIMS suggests that organisations give priority to the following: