{"494351":{"#nid":"494351","#data":{"type":"news","title":"Five Years of Assessing Risk at Georgia Tech","body":[{"value":"\u003Cp\u003EThis year, Georgia Tech\u2019s Enterprise Risk Management (ERM) will celebrate its fifth anniversary. The ERM program is a comprehensive and ongoing risk assessment by Georgia Tech\u2019s senior leadership of the key operational, financial, compliance, and reputational risks that could significantly interfere with Georgia Tech\u2019s ability to achieve its \u003Ca href=\u0022http:\/\/www.strategicvision.gatech.edu\/\u0022\u003EStrategic Plan goals and institutional initiatives\u003C\/a\u003E.\u003C\/p\u003E\u003Cp\u003EThe senior leadership consists of a group of 15 vice presidents, vice provosts, and other senior leaders across campus who make up the \u003Ca href=\u0022http:\/\/larm.gatech.edu\/compliance-risk-management-network\u0022\u003ECompliance \u0026amp; Risk Management Network\u003C\/a\u003E. This group reviews the entire range of risks facing the Institute and scores them for likelihood (probability of the risk becoming reality), impact (effect the risk would have on the Institute), and velocity (estimated timing).\u003C\/p\u003E\u003Cp\u003E\u201cMany people don\u2019t realize that Georgia Tech scores its risks every year,\u201d says Mia Reini, director of ERM. \u201cNot only do we assess risk on an annual basis, but the risks with the highest cumulative scores are addressed with specific risk management plans. These plans have resulted in some significant projects at Tech.\u201d Two such projects are: the \u003Ca href=\u0022http:\/\/www.news.gatech.edu\/2015\/11\/23\/wellness-center-welcomes-first-director-december\u0022\u003ECenter for Community Health and Wellbeing\u003C\/a\u003E and the \u003Ca href=\u0022http:\/\/www.news.gatech.edu\/2014\/03\/05\/keeping-tech-safe\u0022\u003EGTPD Enhanced Camera Operations Center\u003C\/a\u003E.\u003C\/p\u003E\u003Ch5\u003E\u003Cstrong\u003EHow Does ERM Work?\u003C\/strong\u003E\u003C\/h5\u003E\u003Cp\u003E\u003Cstrong\u003ERisk Inventory\u003C\/strong\u003E\u003C\/p\u003E\u003Cp\u003EDuring ERM\u2019s first year, in 2011, Georgia Tech developed a risk inventory through a series of focused brainstorming sessions with individuals from different areas of campus, including Academic Affairs, Student Life, Campus Services, Human Resources, Finance, Information Technology, and Research Administration. The risk factors identified in those discussions were reviewed by the Compliance \u0026amp; Risk Management Network, grouped into general subject matter areas, and categorized by risk level:\u003C\/p\u003E\u003Cul\u003E\u003Cli\u003EInstitute (related to strategic objectives)\u003C\/li\u003E\u003Cli\u003EUnit (operational or process-oriented)\u003C\/li\u003E\u003Cli\u003ESystemic (affecting all of higher education)\u003C\/li\u003E\u003C\/ul\u003E\u003Cp\u003ESince 2011, the risk inventory has further evolved through annual conversations with risk owners across campus.\u003C\/p\u003E\u003Cp\u003E\u201cIf you know of a risk that could keep Georgia Tech from meeting its strategic goals, we\u2019d like to hear from you,\u201d emphasized Reini. \u201cWe are always on the lookout for current risks at Tech, how the risk management is going, and what more could be done to better manage the risk. We\u2019ll never eliminate risk, but we can think of ways to manage it.\u201d\u003C\/p\u003E\u003Cp\u003EKey examples of campus departments and associated risks are:\u003C\/p\u003E\u003Cul\u003E\u003Cli\u003EAcademic Affairs: faculty retention\u003C\/li\u003E\u003Cli\u003EAdministration and Finance: financial misconduct\u003C\/li\u003E\u003Cli\u003EEmergency Preparedness: continuity of campus operations\u003C\/li\u003E\u003Cli\u003EGeorgia Tech Police Department: campus safety\u003C\/li\u003E\u003Cli\u003EInformation Technology: data security\u003C\/li\u003E\u003Cli\u003EResearch Administration: conflict of interest\u003C\/li\u003E\u003Cli\u003EStudent Life: student health and safety\u003C\/li\u003E\u003C\/ul\u003E\u003Cp\u003E\u003Cstrong\u003ERisk Scoring\u003C\/strong\u003E\u003C\/p\u003E\u003Cp\u003EThe Compliance \u0026amp; Risk Management Network scores all of the Institute-level risks using a \u003Ca href=\u0022http:\/\/www.larm.gatech.edu\/compliance-risk-management-network\u0022\u003Erisk score sheet\u003C\/a\u003E. Identification of the most urgent risk factors in the total population of risks is what\u2019s most important. The first risk scoring, and subsequent annual scoring, has created a roadmap for the Institute to manage risk strategically rather than perfectly.\u003C\/p\u003E\u003Cp\u003E\u003Cstrong\u003ERisk Plans\u003C\/strong\u003E\u003C\/p\u003E\u003Cp\u003EOn the recommendation of the Compliance \u0026amp; Risk Management Network, campus individuals are identified as principally responsible for each risk factor and are asked to develop risk management plans for the high priority (high score) risk areas. The risk management plans are reviewed by the Network, presented to the president\u2019s cabinet, and shared with the University System of Georgia Board of Regents.\u003C\/p\u003E\u003Cp\u003EThe risk controls, detailed in the risk management plans, are subsequently included in the risk inventory. The Network annually rescores the risk factors after analyzing how well the controls are working and if additional situational risks are present.\u0026emsp;\u003C\/p\u003E\u003Cp\u003E\u201cOverall, the purpose of ERM is to embed risk resources into existing business processes \u2014 with the objective of being strategic, efficient, and supportive of entrepreneurship at Georgia Tech,\u201d said Reini. \u201cWe want to help eliminate risk surprises.\u201d\u003C\/p\u003E\u003Cp\u003EFor more information, visit the \u003Ca href=\u0022http:\/\/larm.gatech.edu\/compliance-risk-management-network\u0022\u003ECompliance \u0026amp; Risk Management Network website\u003C\/a\u003E.\u003C\/p\u003E","summary":null,"format":"limited_html"}],"field_subtitle":"","field_summary":"","field_summary_sentence":[{"value":"This year, Georgia Tech\u2019s Enterprise Risk Management (ERM) will celebrate its fifth anniversary."}],"uid":"27164","created_gmt":"2016-02-02 12:49:16","changed_gmt":"2016-10-08 03:20:35","author":"Rachael Pocklington","boilerplate_text":"","field_publication":"","field_article_url":"","dateline":{"date":"2016-02-02T00:00:00-05:00","iso_date":"2016-02-02T00:00:00-05:00","tz":"America\/New_York"},"extras":[],"hg_media":{"494361":{"id":"494361","type":"image","title":"Managing Risk","body":null,"created":"1454446801","gmt_created":"2016-02-02 21:00:01","changed":"1475895251","gmt_changed":"2016-10-08 02:54:11","alt":"Managing Risk","file":{"fid":"204538","name":"manage_your_risk.jpg","image_path":"\/sites\/default\/files\/images\/manage_your_risk_0.jpg","image_full_path":"http:\/\/www.tlwarc.hg.gatech.edu\/\/sites\/default\/files\/images\/manage_your_risk_0.jpg","mime":"image\/jpeg","size":25214,"path_740":"http:\/\/www.tlwarc.hg.gatech.edu\/sites\/default\/files\/styles\/740xx_scale\/public\/images\/manage_your_risk_0.jpg?itok=0kqAoPcH"}}},"media_ids":["494361"],"related_links":[{"url":"http:\/\/larm.gatech.edu\/compliance-risk-management-network","title":"Compliance \u0026 Risk Management Network"},{"url":"http:\/\/larm.gatech.edu\/enterprise-risk-management","title":"Enterprise Risk Management"}],"groups":[{"id":"1214","name":"News Room"}],"categories":[{"id":"129","name":"Institute and Campus"}],"keywords":[],"core_research_areas":[],"news_room_topics":[{"id":"71871","name":"Campus and Community"}],"event_categories":[],"invited_audience":[],"affiliations":[],"classification":[],"areas_of_expertise":[],"news_and_recent_appearances":[],"phone":[],"contact":[{"value":"\u003Cp\u003E\u003Ca href=\u0022mailto:mia.reini@carnegie.gatech.edu\u0022\u003EMia Reini\u003C\/a\u003E\u003Cbr \/\u003EDirector, Enterprise Risk Management\u003Cbr \/\u003EOffice of Legal Affairs and Risk Management\u003C\/p\u003E","format":"limited_html"}],"email":[],"slides":[],"orientation":[],"userdata":""}}}