Three out of four organizations have yet to embrace enterprise-wide risk oversight, the Journal of Accountancy reports, and even fewer have embraced enterprise risk management (ERM) into their overall business strategy.
While the number of companies with ERM processes is increasing, only 23% of respondents in a study by the AICPA had complete processes. Sixty-two percent reported that the volume and complexity of risk has increased substantially in the last five years, and 68% reported being caught unawares of an operational risk in that time period. But 39% of respondents did not plan to implement ERM at all.
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For more on enterprise risk management, see Building a Better ERM.