Please review Chapter 5: ERM
Please review Chapter 5: ERM in Practice at the University of California Health System Case and provide response for following questions.
1. Your medical group wants to expand by starting a new venture, owning and operating a pharmacy. In order to increase the chances for success, you have been asked to perform an enterprise risk assessment that includes reputational risk. Give three examples of how starting a new venture might have risk events that could lead to repercussions that would negatively impact the organization’s reputation and three examples where it might be enhanced, creating opportunity.
2. Explain how improvement is measured with KPIs and give one example related to Human Capital and how this KPI might help you improve your organization.
3. What do you think is the difference between traditional risk management and enterprise risk management?
You are required to respond to the questions thoroughly, in 250 -to-300 words for each question. Be sure to include at least three reference sources. APA rules for formatting, quoting, paraphrasing, citing, and listing of sources are to be followed.
Here is the link to chapter 5: https://www.oreilly.com/
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Question 1
Enterprise Risk Assessment
It is paramount that the goal of various Organizations is to maximize the profits as they minimize on the costs, which enhances the growth and the success of these Organizations. For Organizations to achieve this success, they must perform the risk assessment to analyze all the risks and come up with sound methods to react to them. Ideally, risks are all threats and dangers that may face an Organization that may affect their going concern (Berry & Xu, 2018).
Starting new venture may affect the reputation of the Organization either positively or negatively. Apparently, the reputation of an Organization reflects the image of the Organization to the public and how the people view the Organization. Reputation risk entails the threats that may affect the positive image of the Organization.
(1,034 words)