ITS835 enterprise risk management Chapter 4 & 7 ERM at statoil and united grain growers 1 University of Cumberlands Introduction History of Statoil ERM at Statoil United Grain Growers Background ERM at Grain Growers Conclusion 2 University of Cumberlands Statoil History Headquartered in Stavanger, Norway World’s top 10 oil and gas producers 706 billion in revenue 23,000 employees 2,004 million barrels of oil 40 year history of producing oil 3 University of Cumberlands Erm at statoil Goals: create value and avoid accidents Wanted a way to manage risks Recognize risk taking is unavoidable even necessary to create value for shareholders Risk Map Upside potential and downside risk for a risk factor Reported risks are listed twice Value Creation is the guiding principle for an ERM Viewing risks in a value chain Value Chain has 3 main stages Exploration and development of oil and gas reserves Refinement of hydrocarbons into various gas products Selling of gas, oil and products into different markets Risks divided into 2 categories: market and operational risks ERM Processes Quarterly rhythm with meetings Write response to business units Risk department is supervisor of the risk mapping process Support business and encourages best practices Risk mapping, quantification of probability and impact considered 4 University of Cumberlands Total risk optimization: lessons learned Tacked the task of avoiding risk management decisions that are suboptimal for the company. Established KPIs and scorecards Spent time on beforehand thinking about what ERM should look like Risk Committee Roles and Responsibilities 5 University of Cumberlands conclusion Evolution of ERM over time based on organizational goals and values ERM Processes to minimize risks and optimize it Consider upside and downside potential risk during assessment exercise ERM to increase organizational performance 6 University of Cumberlands United grain growers overview Commodity traded company Focused on grain grown in Canadian Factors the impact operations Government regulation Political risk Governance 7 University of Cumberlands UGG Leadership Structure CEO Board of Directors 1906 Farmed-owned cooperative Bureaucratic business model Early 1990s suffered financial distressed Breach of bank covenants and losing cash CEO suggested drastic changes to help increase operational and financial performance 8 University of Cumberlands Ugg erm process Identify and access principle risks ERM exercise to identify risks Two approaches to address problems Developed Strategic Plan to improve financial dividends and balance sheet numbers Credit Financial Outcomes Merger with Agricore United through risk financing program 9 University of Cumberlands conclusion ERM Usage to help with Financial Risk Outcomes of using ERM Leadership Changes due to ERM 10 University of Cumberlands ITS835 enterprise risk management Chapter 4 & 7 ERM at statoil and united grain growers 1 University of C ...

1. ITS835 enterprise risk management
Chapter 4 & 7
ERM at statoil and united grain growers
1
University of Cumberlands
Introduction
History of Statoil
ERM at Statoil
United Grain Growers Background
ERM at Grain Growers
Conclusion
2
University of Cumberlands
Statoil History
Headquartered in Stavanger, Norway
World’s top 10 oil and gas producers
706 billion in revenue
23,000 employees
2,004 million barrels of oil
40 year history of producing oil
3
University of Cumberlands
Erm at statoil
Goals: create value and avoid accidents
Wanted a way to manage risks
Recognize risk taking is unavoidable even necessary to create

2. value for shareholders
Risk Map
Upside potential and downside risk for a risk factor
Reported risks are listed twice
Value Creation is the guiding principle for an ERM
Viewing risks in a value chain
Value Chain has 3 main stages
Exploration and development of oil and gas reserves
Refinement of hydrocarbons into various gas products
Selling of gas, oil and products into different markets
Risks divided into 2 categories: market and operational risks
ERM Processes
Quarterly rhythm with meetings
Write response to business units
Risk department is supervisor of the risk mapping process
Support business and encourages best practices
Risk mapping, quantification of probability and impact
considered
4
University of Cumberlands
Total risk optimization: lessons learned
Tacked the task of avoiding risk management decisions that are
suboptimal for the company.
Established KPIs and scorecards
Spent time on beforehand thinking about what ERM should look
like
Risk Committee Roles and Responsibilities
5
University of Cumberlands

3. conclusion
Evolution of ERM over time based on organizational goals and
values
ERM Processes to minimize risks and optimize it
Consider upside and downside potential risk during assessment
exercise
ERM to increase organizational performance
6
University of Cumberlands
United grain growers overview
Commodity traded company
Focused on grain grown in Canadian
Factors the impact operations
Government regulation
Political risk
Governance
7
University of Cumberlands
UGG Leadership
Structure
CEO
Board of Directors
1906 Farmed-owned cooperative
Bureaucratic business model
Early 1990s suffered financial distressed
Breach of bank covenants and losing cash
CEO suggested drastic changes to help increase operational and
financial performance

4. 8
University of Cumberlands
Ugg erm process
Identify and access principle risks
ERM exercise to identify risks
Two approaches to address problems
Developed Strategic Plan to improve financial dividends and
balance sheet numbers
Credit Financial Outcomes
Merger with Agricore United through risk financing program
9
University of Cumberlands
conclusion
ERM Usage to help with Financial Risk
Outcomes of using ERM
Leadership Changes due to ERM
10
University of Cumberlands
ITS835 enterprise risk management
Chapter 4 & 7
ERM at statoil and united grain growers
1
University of Cumberlands
Introduction
History of Statoil

5. ERM at Statoil
United Grain Growers Background
ERM at Grain Growers
Conclusion
2
University of Cumberlands
Statoil History
Headquartered in Stavanger, Norway
World’s top 10 oil and gas producers
706 billion in revenue
23,000 employees
2,004 million barrels of oil
40 year history of producing oil
3
University of Cumberlands
Erm at statoil
Goals: create value and avoid accidents
Wanted a way to manage risks
Recognize risk taking is unavoidable even necessary to create
value for shareholders
Risk Map
Upside potential and downside risk for a risk factor
Reported risks are listed twice
Value Creation is the guiding principle for an ERM
Viewing risks in a value chain
Value Chain has 3 main stages
Exploration and development of oil and gas reserves
Refinement of hydrocarbons into various gas products
Selling of gas, oil and products into different markets
Risks divided into 2 categories: market and operational risks

6. ERM Processes
Quarterly rhythm with meetings
Write response to business units
Risk department is supervisor of the risk mapping process
Support business and encourages best practices
Risk mapping, quantification of probability and impact
considered
4
University of Cumberlands
Total risk optimization: lessons learned
Tacked the task of avoiding risk management decisions that are
suboptimal for the company.
Established KPIs and scorecards
Spent time on beforehand thinking about what ERM should look
like
Risk Committee Roles and Responsibilities
5
University of Cumberlands
conclusion
Evolution of ERM over time based on organizational goals and
values
ERM Processes to minimize risks and optimize it
Consider upside and downside potential risk during assessment
exercise
ERM to increase organizational performance
6
University of Cumberlands

7. United grain growers overview
Commodity traded company
Focused on grain grown in Canadian
Factors the impact operations
Government regulation
Political risk
Governance
7
University of Cumberlands
UGG Leadership
Structure
CEO
Board of Directors
1906 Farmed-owned cooperative
Bureaucratic business model
Early 1990s suffered financial distressed
Breach of bank covenants and losing cash
CEO suggested drastic changes to help increase operational and
financial performance
8
University of Cumberlands
Ugg erm process
Identify and access principle risks
ERM exercise to identify risks
Two approaches to address problems
Developed Strategic Plan to improve financial dividends and
balance sheet numbers
Credit Financial Outcomes
Merger with Agricore United through risk financing program
9

8. University of Cumberlands
conclusion
ERM Usage to help with Financial Risk
Outcomes of using ERM
Leadership Changes due to ERM
10
University of Cumberlands
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Week 13 Journal Reflection Assignment (Due Novem…
%37Total Score: Medium risk
Sriteja Thuraka
Submission UUID: 67cdc720-a87b-eb12-fb40-cade8e7691fe
Total Number of Reports
1

9. Highest Match
37 %
UseCaseStudy_Journal_We…
Average Match
37 %
Submitted on
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05:45 PM GMT+5:30
Average Word Count
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Highest: UseCaseStudy_Jou…
%37Attachment 1
Institutional database (3)
Student paper Student paper Student paper
Internet (1)
springer
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Excluded sources (0)
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Word Count: 618
UseCaseStudy_Journal_Week13_ERM.docx

10. 4 3 1
2
4 Student paper 3 Student paper 2 springer
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4a0f-8389-
23d34c4fc0eb&course_id=_112076_1&download=true&include
Deleted=true&print=true&force=true
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Source Matches (8)
Student paper 100%
springer 63%
Student paper 68%
Running head: USE CASE STUDY_Week 13_ Journal 2
USE CASE STUDY 2
Use Case Study
Sriteja Thuraka

11. University of the Cumberlands
Enterprise Risk Mangement
Use Case Study In the current world we are living today and
with the existing turbulence in the market, majority of the firms
are spending a lot of
visible and also invisible resources in trying to get a higher
competitive benefits over their competitors and towards
ensuring a superior perfor-
mance (Brustbauer, 2016). Initial studies have basically
discussed a number of determinants related to the competitive
advantage and performance
particularly aimed at the developed economies in a market
situation where small or medium sized enterprises are emerging
in economies and that
have basically received some minor attentions in the market. In
this study therefore, a number of issues have been examined
together with the me-
diating responsibility of managing the competitive benefits
related to the enterprise risk and their related managerial
practices and also the manag-
ing role related to financial discipline. In some cases, also,
questionnaires are used so as to collect data and which should
greatly be used in control-
ling the upcoming market structure (Olson, & Wu, 2015).
Organizations are therefore encouraged to implement a number
of enterprise related risks
in relation to the existing management practices with an aim of
gaining higher levels of competitive advantage as well as
superior performance. Top
managers in organizations also need to ensure that there is
enough financial education and that they will be in a better
position in the market.
Enterprise risk management is generally expected to greatly
minimize on the direct and indirect costs related to the financial

12. distress and negative
shocks in the entire financial markets and also in ensuring the
improvement of decision-making process so as to select the best
investment oppor-
tunities. A number of internal fences as well as lack of
management capabilities and adequate resources and which are
more likely to focus on the
entire practices in the risk associated management (Brustbauer,
2016). Medicinal services associations are situations with high
the board mul-
tifaceted nature and subject to a steady presentation to dangers.
Venture hazard the board (ERM) has been considered and
applied in various finan-
cial conditions with the point of improving authoritative
execution. Be that as it may, the wellbeing segment still
experiences an absence of con-
sideration in this specific situation, specifically with respect to
the requirement for a high level of monetary
straightforwardness and for the founda-
tion of procedure orientated administration, and this gives the
inspiration to the investigation depicted in this paper. An ERM
model for wellbeing
associations is proposed, in view of a deliberate writing survey
and on seven contextual analyses in Brazilian clinics. A way to
deal with financial
chance appraisal utilizing pointers, for example, the income in
danger and the changeability of expenses and receipts from the
proposed model is
recommended. The wellbeing associations engaged with the
contextual analyses all decipher ERM as a wellspring of data
adding to corporate ad-
ministration, and the markers recorded give helpful information
to progress-driven basic leadership (Bromiley, McShane, &
Rustambekov, 2015).
Given the intrigue communicated by the associations in

13. question, further application and approval of the proposed
model in ensuing ponders
is recommended. This is therefore a bit different from what is
provided in the use case in this week’s study. However,
organizations should greatly
focus on the best practices towards the achievement of their set
goals and objectives.
References
Bromiley, McShane, & Rustambekov, (2015). Enterprise risk
management: Review, critique, and research directions. Long
range planning, 48(4),
265-276. Brustbauer, (2016). Enterprise risk management in
SMEs: Towards a structural model. International Small Business
Journal, 34(1), 70-
85. Olson, & Wu, (2015). Enterprise risk management (Vol. 3).
World Scientific Publishing Company.
1
2
3
4
4
2
1
2
1

14. Student paper
University of the Cumberlands
Original source
University of Cumberlands
2
Student paper
Enterprise Risk Mangement
Original source
Enterprise risk management
3
Student paper
Enterprise risk management is gen-
erally expected to greatly minimize
on the direct and indirect costs relat-
ed to the financial distress and nega-
tive shocks in the entire financial
markets and also in ensuring the im-
provement of decision-making
process so as to select the best in-
vestment opportunities.
Original source
ERM is supposed to minimize direct
and indirect costs of financial dis-

15. tress, earnings volatility, and nega-
tive shocks in financial markets, as
well as improve the decision-making
process to select the best invest-
ment opportunities (Beasley et al
11/19/2019 Originality Report
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Student paper 83%
Student paper 92%
springer 100%
Student paper 100%
springer 84%
4
Student paper
Be that as it may, the wellbeing seg-
ment still experiences an absence of
consideration in this specific situa-
tion, specifically with respect to the
requirement for a high level of mon-
etary straightforwardness and for
the foundation of procedure orien-
tated administration, and this gives

16. the inspiration to the investigation
depicted in this paper.
Original source
The health segment, still experiences
an absence of consideration in this
specific situation, specifically, with
respect to the requirement for an el-
evated level of financial related
straightforwardness and for the
foundation of procedure orientated
administration, and this gives the in-
spiration to the investigation depict-
ed in this article
4
Student paper
Given the intrigue communicated by
the associations in question, further
application and approval of the pro-
posed model in ensuing ponders is
recommended.
Original source
Given the intrigue communicated by
the associations in question, further
application and approval of the pro-
posed model in ensuing considers is
recommended
2

17. Student paper
Enterprise risk management: Re-
view, critique, and research
directions.
Original source
Enterprise risk management review,
critique, and research directions
1
Student paper
Enterprise risk management in
SMEs: Towards a structural model.
Original source
Enterprise risk management in SMEs
Towards a structural model
2
Student paper
Enterprise risk management (Vol.
Original source
Enterprise risk management