The latest enterprise risk management news from around the world

New guidance shows how to use ERM to improve organizational resilience for environmental, social and governance-related risks

The Committee of Sponsoring Organizations of the Treadway Commission (COSO) and the World Business Council for Sustainable Development (WBCSD) have released a jointly developed document, ‘Guidance for Applying Enterprise Risk Management (ERM) to Environmental, Social and Governance (ESG)-related Risks.’ 

This guidance, which underwent an extensive public comment period, is intended to bring ESG risks and opportunities into a clearer focus for mainstream businesses and other organizations around the world. It is designed to enhance organizations’ resiliency as they confront the increasing prevalence and severity of ESG-related risks, ranging from extreme weather events to product safety recalls.

The document aligns with COSO’s definitive ‘Enterprise Risk Management — Integrating with Strategy and Performance’ guidance.

“The Guidance is a valuable contribution for applying COSO’s ERM Framework to ESG-related risks,” said Paul J. Sobel, COSO Chairman. “The prevalence of ESG-related risks globally is increasing, and there is a growing demand from stakeholders for ESG-related insight. Using the common language of ERM, this guidance helps to meet the needs of risk management and sustainability practitioners for integrating ESG-related risks into ERM.”

Contents of the new guidance include: 

  • Approaches to overcome ESG-related risk challenges across the enterprise risk management process, from governance to risk identification and assessment through to communication and reporting; 
  • Innovative responses to manage both upside and downside of ESG-related risks;
  • Methods for developing and maintaining a culture of continuous improvement for managing ESG-related risks.

Read Guidance for Applying Enterprise Risk Management (ERM) to Environmental, Social and Governance (ESG)-related Risks (PDF).



Want news and features emailed to you?

Signup to our free newsletters and never miss a story.

A website you can trust

The entire Continuity Central website is scanned daily by Sucuri to ensure that no malware exists within the site. This means that you can browse with complete confidence.

Business continuity?

Business continuity can be defined as 'the processes, procedures, decisions and activities to ensure that an organization can continue to function through an operational interruption'. Read more about the basics of business continuity here.

Get the latest news and information sent to you by email

Continuity Central provides a number of free newsletters which are distributed by email. To subscribe click here.