Which role is typically responsible for overseeing the enterprise risk management framework?

The chief risk officer (CRO) is typically responsible for overseeing the enterprise risk management (ERM) framework. This role is crucial as the CRO is specifically tasked with identifying, assessing, and mitigating risks that could impact the organization. The CRO ensures that risk management strategies align with the firm’s overall objectives and that risk governance is integrated throughout the organization. This involves implementing risk assessment processes, establishing policies, and facilitating risk awareness within all levels of the business.

The CRO also collaborates with other executives and departments to foster a risk-aware culture, ensuring that risk considerations are embedded into business decisions. This position is integral to the foundation and effectiveness of the ERM framework, helping to safeguard the organization against potential threats while enabling opportunities for growth.