Enterprise risk management deals with risks and opportunities that affect an organization's value. It requires balancing growth goals with related risks. An effective framework aligns risk appetite with strategy, improves decision making, reduces surprises and losses, identifies cross-department risks, and seizes opportunities. Risks exist at the strategic, portfolio, project, and operational levels. Examples include geographic expansion, large projects, and privacy violations. Risk management involves communicating, identifying, evaluating, treating, defining, analyzing, and monitoring risks.