Identifying emerging risks with ERMReprints
When East Carolina University in Greenville, North Carolina, was faced with concerns about getting cash receipts from multiple business unit areas to the central campus deposit location in order to comply with regulations limiting the amount of cash allowed to be held overnight in offices, the school's enterprise risk management program came into play, said Tim Wiseman, the school's assistant vice chancellor for ERM and chief risk officer.
ECU's ERM program and risk evaluation framework led to an enterprisewide solution to categorize courier requirements by distance, exposure risk and average dollar amounts to arrive at a tiered approach to affordably treating the risks, said Mr. Wiseman.
Doing so included completing a contract for armored car courier service for the higher risk deposits units. “Addressing the compliance challenge holistically using the ISO 31000 risk management process eliminated piecemeal departmental approaches and sub-optimal solutions,” he said in an email.
ERM also came into play as the school sought to comply with state regulations regarding the proper use of buildings and facilities built or purchased with state funds, Mr. Wiseman said.
The university's ERM program, in conjunction with internal audit and planners in our athletics department, developed a privatized model for sports camps and clinics that created a fee structure for coaches conducting the camps.
“This solution helped to appropriately separate camp revenues and expenses from those of the university's facilities and ensured compliance with related state laws and regulations,” he said.