How will risk management and procurement interact in the future?
Risk management can help procurement be more effective by assisting with contract drafting and by helping procurement colleagues quantify, mitigate, and transfer risk unique to each contract and vendor. I dont see a role for procurement in the context of purchasing insurance. This is a job best performed by subject-matter experts. What are the pros and cons of such interaction, including impact on ERM? Risk managers dont necessarily need to own the ERM function exclusively. However, they should be on their companys ERM committees and play a central role in sharing best practices that can be applied to managing risk throughout the enterprise.
