ERM Crowdsourcing Assessment
In order to get around the common practice of relying on a single person in a business department or function to assess specific risks, Origami Risk LLC was inspired by an internet collaboration technique – crowdsourcing.
Risk managers have traditionally sought the support of managers throughout their operations to identify and assess risks within their functions. It can be a time-consuming process and may not be as accurate as it should be, says Joshua Newsum, Phoenix-based GRC solution architect with Origami.
A more effective way to get a complete picture of risk in business areas is to ask several individuals in a department or function to participate in risk assessments, Mr Newsum said. After analyzing their efforts, risk managers would be able to make better-informed decisions about limiting and managing risks, he said.
And that's why Chicago-based Origami developed its ERM Crowdsourcing Assessment solution, a winner of a 2021
Origami developed the tool, which is offered as part of the company's risk management package, with input from risk managers participating in large-scale corporate risk initiatives. It automates the collection of risk assessment results from multiple individuals and replaces more traditional assessment methods that can be cumbersome and take a lot of resources to implement, explained Mr. Newsum.
Risk managers want to engage their entire business when considering how to protect their organizations, he said. They need feedback from many individuals, he said, "and that's why we needed this solution."
Risk managers no longer need to think that a single person owns a certain risk and their opinion if it is the only feedback that is important, said Mr Newsum. Instead, with the help of the crowdsourcing evaluation tool, they can examine several employees within a single department, in different business units or in different places to get their opinions on the risk.
The tool does not require training for "assessors" identified by the risk manager to receive a questionnaire via email, Newsum said. The assessor is asked to take a risk according to factors such as its potential impact on the organization and the probability of a loss.
The solution represents a shift from a "fear of risk", Newsum said, by gathering "very uncomplicated opinions and feedback on risks so that we can take the right action within the organization and adapt it to the strategy. It really is the underlying" the reason we built a feature like this. ”