Risk Metric and Taxonomy Standardization
Risk management is an evolving discipline, which has developed in close parallel with the business activities of the financial services industry. As an ongoing activity across the organization, it involves historic, current, and forward-looking perspectives rather than simply a snapshot at a specific point in time.
Business leaders can often be overwhelmed by the task of determining the most important risks and appropriate key risk indicators (KRIs). Without a strong framework for risk assessment, it’s easy to overlook emerging risks, risks at the point of process hand-off, and routine losses.
RSA Archer Risk Metric and Taxonomy Standardization enables organizations to identify pertinent risk taxonomy and KRIs and quickly integrate them into their RSA Archer Governance, Risk, and Compliance (GRC) framework. This facilitates the development of common-risk language, structure, and appropriate KRIs across the enterprise.
Risk Metric and Taxonomy Standardization provides effective categorization for your organization’s risk universe including compliance, credit, financial, market, operational, liquidity, reputation, and strategic risks. It enables organizations to promote the use of common language to integrate qualitative and quantitative risk and exposure information. This facilitates comparisons within the organization and across relevant industry sectors as well as consistent assessments of potential exposure to different types of risk across the organization with “exposure points” of greater concern than others.
Risk Metric and Taxonomy Standardization provides a common reference point to correlate different types of information from different risk tools to establish a “real-time” perspective of the organization’s actual risk profile.