Discussion

Chapter 28 & 29

ERM and Risk M

ini-Case Studies: Part 2

ITS 835 Enterprise Risk M anagem

ent

Professor O ludotun (Dot) O

ni, Ph.D., CISSP

1

M ini-Case Studies

2

Chapter 28, “The Reluctant General Counsel”

Chapter 29, “Transform ing Risk M

anagem ent at

Akaw iniCopper”

3

The Reluctant General Counsel

• Business Softw

are Corporation (BSC) •

Silicon Valley, CA •Annual revenue over $1 billion

• Board w

ants ERM •

U pper m

anagem ent supports establishing ERM

• EVP of developm

ent and general counsel •

Doesn’t w ant to be involved in ERM

• Risk discussions could be discoverable in law

suits •

U.S. Securities and Exchange Com m

ission (SEC) •

Requires disclosure of risks •

Recom m

endation is to not form ally pursue ERM

4

Akaw iniCopper

• Akaw

iniCopper •

M ining com

pany acquired by larger U nited M

inerals •

Single m ine and plant

• $774 m

illion in revenue •

1,500 em ployees

• U

nited M inerals im

plem ented ISO

31000 fram

ew ork

• Substantially m

ore sophisticated than Akaw ini’sRM

• Launched project to transform

Akaw iniRM

to ERM

• Fraser, J., Sim

kins, B., & N

arvaez, K. (2014). Im

plem enting enterprise risk m

anagem ent:

Case studies and best practices. John W iley &

Sons

5

Reference