As the risk manager, you have served in a planning role and an information gathering role. But now we are in the pandemic, so you may be wondering what your role current role should be. The Risk Owners are leading efforts in their respect operational areas, so you may think you need to step aside and let them do their work. But there are important ways for you to help: 1. Be in the war room and 2. Prepare for the next wave. 

Following approval of the strategic plan, there is an audible sigh of relief in the board room. The months of planning and engagement have resulted in clearly defined strategic priorities, and your leadership group is aligned to deliver on a great set of strategies. 
 

The short answer to that question is yes, you really should establish a risk tolerance. It is an important tool for managing your utility.

A utility chief risk officer once said to me, “If we establish a risk tolerance, I am afraid that will be seen as a green light to take risks.”
 

Enterprise risks refer to financial, operational, regulatory, legal, environmental, and strategic risks that significantly impact an organization (the “enterprise”). Risks cannot be avoided, but they can be identified and ranked so that an organization can proactively address them. Risk ranking helps define an organization’s biggest gaps and vulnerabilities; by ranking risks, an organization can better allocate capital and human resources.