Chapter15 Embedding ERM into Strategic Planning at the City of Edmonton Introduction Edmonton – Past and present ERM Links to strategic plan and to other strategic tools Selecting and testing tools and framework Recommended strategic ERM approach Lessons learned Edmonton – Past and Present ERM Edmonton – Capital of Alberta, Canada Over 800,00 population ERM piloted in 2005 CORPORATE Business Risk Planning (CBRP) model Not fully implemented Based on COSO Adopted strategic plan The Way Ahead Strategic ERM Links to Strategic Plan Selecting and Testing Tools and Framework Selecting and Testing Tools and Framework Strategic Goals and Objectives Risks and Strategic Objectives ISO 31000 Risk Management PM2 versus ISO 31000 Proposed ERM Framework Summary Key success factors Senior management buy-in Culture of innovation Consistency of model across goals Resource requirements for department SMEs Department accountability for key risks Process of selecting and implementing framework Takes longer than expected No system is perfect Do not roll out all at once Clearly define all milestones and deliverables Chapter12 Measuring Performance at Intuit Introduction Intuit’s ERM Journey ERM Maturity Model Benefits of Measuring Performance in ERM Models ERM Performance Measurement and Reporting Conclusion Intuit’s ERM Journey Began with ad hoc risk management Very common entry point Escalated to ERM when seminal event occurred Desire was to stop firefighting and start prevention Intuit ERM Core Principles Enterprise-wide risk framework Risk assessment is ongoing Focus on most significant risks Ownership and accountability Measure and monitor performance ERM Maturity Model Benefits of Measuring Performance in ERM Models Key Performance Indicators (KPI) Based on business objectives Leading and lagging indicators Input, process, and output indicators KPIs must be Tangible Flexible Standardized Outcome or objective focused ERM Performance Measurement and Reporting First evolution - ERM process adoption Second evolution – Risk Mitigation Process Management Third Evolution – Multidimensional Risk Management Performance Measurement ERM Process Adoption Risk Mitigation Process Management Multidimensional Risk Management Conclusion At Intuit, risk management is everyone’s responsibility ERM must be a core business competency Coordination is a key to success Recognizes Upside opportunity Downside risk ERM process is regularly audited ERM is an integral part of Intuit’s operating model ...

1. Chapter15
Embedding ERM into Strategic Planning at the City of
Edmonton
Introduction
Edmonton – Past and present ERM
Links to strategic plan and to other strategic tools
Selecting and testing tools and framework
Recommended strategic ERM approach
Lessons learned
Edmonton – Past and Present ERM
Edmonton – Capital of Alberta, Canada
Over 800,00 population
ERM piloted in 2005
CORPORATE Business Risk Planning (CBRP) model
Not fully implemented
Based on COSO
Adopted strategic plan
The Way Ahead
Strategic ERM
Links to Strategic Plan

2. Selecting and Testing Tools and Framework
Selecting and Testing Tools and Framework
Strategic Goals and Objectives
Risks and Strategic Objectives
ISO 31000 Risk Management
PM2 versus ISO 31000
Proposed ERM Framework
Summary
Key success factors
Senior management buy-in
Culture of innovation
Consistency of model across goals
Resource requirements for department SMEs
Department accountability for key risks

3. Process of selecting and implementing framework
Takes longer than expected
No system is perfect
Do not roll out all at once
Clearly define all milestones and deliverables
Chapter12
Measuring Performance at Intuit
Introduction
Intuit’s ERM Journey
ERM Maturity Model
Benefits of Measuring Performance in ERM Models
ERM Performance Measurement and Reporting
Conclusion
Intuit’s ERM Journey
Began with ad hoc risk management
Very common entry point
Escalated to ERM when seminal event occurred
Desire was to stop firefighting and start prevention
Intuit ERM Core Principles
Enterprise-wide risk framework
Risk assessment is ongoing
Focus on most significant risks
Ownership and accountability

4. Measure and monitor performance
ERM Maturity Model
Benefits of Measuring Performance in ERM Models
Key Performance Indicators (KPI)
Based on business objectives
Leading and lagging indicators
Input, process, and output indicators
KPIs must be
Tangible
Flexible
Standardized
Outcome or objective focused
ERM Performance Measurement and Reporting
First evolution - ERM process adoption
Second evolution – Risk Mitigation Process Management
Third Evolution – Multidimensional Risk Management
Performance Measurement
ERM Process Adoption
Risk Mitigation Process Management

5. Multidimensional Risk Management
Conclusion
At Intuit, risk management is everyone’s responsibility
ERM must be a core business competency
Coordination is a key to success
Recognizes
Upside opportunity
Downside risk
ERM process is regularly audited
ERM is an integral part of Intuit’s operating model