ABA Bank Compliance - July/August, 2009

T
HE SCOPE AND COMPLEXITY OF ENTERPRISE-WIDE RISK MANAGEMENT
depends today on the size of your bank. If, for example, you work for a large
bank—$2 billion or more in assets—you almost by definition have developed
some level of enterprise-wide risk program. You probably also provide some
level of reporting to the board (or a designated board committee) of key areas
of risk. Most often, color or other coding is used to visually represent the level
(high, moderate, or low) and direction (increasing, decreasing, or stable) of risk
in each risk area. You might also roll all of the identified risks into a company-
wide composite risk. Mitigation strategies are also typically included.
Risk Management
for Community
Banks
BY WYLLI FOOTE, CRCM