A guide on how to apply an uncertainty-based perspective in Enterprise Risk Management
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- Studentoppgaver (TN-ISØP) 
The purpose of managing and mitigating risks has long been a way of securing an entity's assets or values. Today, more and more businesses are opening their eyes to using risk management to create, preserve, and realise value by implementing enterprise risk management (ERM). One of the most recognised frameworks for ERM are COSO's Enterprise Risk Management – Integrating with Strategy and Performance. COSO's framework, however, is both very comprehensive, and requires the need for several risk professionals working in the entity. In addition to this, COSO (2017) mentions the importance of being aware of uncertainties regarding risks but fails to give methods in how to acquire sufficient knowledge to manage said risks. This thesis presents a guide for an entity in the beginner maturation state of implementing ERM, where they are demonstrated an activity plan based on COSO (2017), with extra emphasis on uncertainties. This thesis consists of six chapters, with the first chapter introducing the background and objectives of the work. Secondly, a review of COSO (2017) is presented with a discussion on the limitations of COSO (2017) as a framework. The guide is demonstrated in chapter three, following the same structure as COSO (2017) ending in an activity plan. Chapter four presents an application example based on the performance component of the guide. The discussion chapter compares COSO (2017) to the guide presented earlier with the help of the application example. Lastly, the thesis is concluded in chapter six. Discussions show that the guide is beneficial for smaller or medium sized entities who experience various degrees of uncertainties, and desire to implement an ERM process in order to help create, preserve, and realise their values by assessing risks that threaten the entity's objectives and strategy.
Master's thesis in Risk Management