CMA Study Group

The definition of ERM under IMA

  • 1.  The definition of ERM under IMA

    Posted 12 days ago
    I am so confused what is the right definition for ERM under IMA, what's the difference between IMA ERM and COSO ERM?



     



  • 2.  RE: The definition of ERM under IMA

    Posted 11 days ago
    Hello Yue,

    Hope you are safe and doing great in Part-2 study

    You can use the following definitions to generate the proper one for easy understanding & memorizing:

    IMA:
    ERM is a structured and disciplined approach: It aligns strategy, processes, technology, and knowledge with the purpose of evaluating and managing the uncertainties the enterprise faces as it creates value.…It is a truly holistic, integrated, forward-looking, and process-oriented approach to managing all key business risks and opportunities, not just financial ones, with the intent of maximizing shareholder value as a whole.

    COSO:
    ERM is a process, effected by an entity's board of directors, management and other personnel, applied in strategy setting and across the enterprise, designed to identify potential events that may affect the entity, and manage risk to be within its risk appetite, to provide reasonable assurance regarding the achievement of entity objectives.

    Other:
    ERM concerns the identification and management of events and circumstances that can affect the ability of a firm to achieve its objectives. It is the process of planning, organizing, leading, and controlling the activities of an organization in order to minimize the effects of risk.

    Please find the attached files for full details.

    Wish you best of luck, success, safe & healthy condition

    Kind regards

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    Samer Ahmad, FMVA, SCA
    Kuwait
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  • 3.  RE: The definition of ERM under IMA

    Posted 10 days ago
    Many thanks,it's helpful.

    发自我的华为手机





  • 4.  RE: The definition of ERM under IMA

    Posted 8 days ago
    Hi SIr,

    In exam do we have to write ERM definition of 2004 or 2017 published by COSO?

    Thanks

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    Mohammed Abbas Charania
    Student
    MUMBAI
    India
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