A Critical Analysis of Enterprise Risk Management Processes and its Interdependence on the Corporate Governance Framework

The paper outlines the importance of Corporate Risk Management Process and the Role of the Board in mitigating and managing the risks within an organization. Risk is prevalent in all organizational activities. It influences the achievement and non achievement of organizational goals. This necessitates the need for a structured process for effective risk management. Traditionally, risk management strategies were centered of insurance solutions, however due to the change in business landscapes, organizations moved towards an integrated holistic strategy-focused risk discipline. Corporate Risk Management is an integral part of the decision-making process and effective risk management can proactively help in overcoming the possibilities of the business failures. The purpose of this report is to examine the current status of risk management in BSE-30 Companies and to explore the reasons for the adoption or lack of adoption of integrated approach to risk management. It identifies the imperatives for implementation of comprehensive risk management solutions leading to Enterprise Risk Management (ERM).The report shows that effective risk management can improve organizational performance. ERM enables firms to benefit from an integrated approach to managing risk that shifts the focus of the risk management function from primarily defensive to increasingly offensive and strategic