Entity Risk Management

Entity Risk Management is the process organizations use to identify, assess, and address potential threats that could harm their operations, assets, or reputation. It involves systematically analyzing risks—such as financial loss, legal issues, or operational disruptions—and implementing strategies to prevent or minimize their impact. The goal is to ensure the entity remains resilient, compliant, and able to achieve its objectives despite uncertainties. Effective risk management helps organizations make informed decisions, allocate resources wisely, and build stakeholder confidence by proactively managing potential vulnerabilities.