A Model for Process Oriented Risk Managenent
Giancarlo Nota, Maria Pia Di Gregorio · BiblioBoard Library Catalog (Open Research Library) · 2010
Enterprise risk management is an emergent research field. Apart from application area such as banking, insurance and health where risk management has traditionally been considered a primary management discipline, more and more organizations are planning today the introduction of a risk management system. The model for process oriented risk management proposed here arises from the consideration that the degradation of process execution in terms of poor performances/effectiveness, high costs and low quality can cause great difficulties even undermining the survival of organizations. It can be taken as a reference model by process focused enterprises for the implementation of advanced risk management systems. As a matter of fact, from the coupling of a WfMS with a risk management system we obtain an integrated system capable of managing risks that could have an impact on the regular execution of workflows. Any deviation from the prescribed workflow behavior implies a missed deadline, an increased execution cost or even a danger or an illegal situation. The basic information needs concerning the workflow execution, from the point of view of risk management, can be satisfied by the workflow engine either automatically recording relevant events during the process execution (i.e. creation, completion of work items, task and processes) or collecting qualitative data before or after the examination of each scheduled activity. Both kinds of measures, qualitative and quantitative are effective tools that help the management to identify threats during the enactment of processes. At risk definition time, the risk manager looks at the definition of activities and processes assigning to them risk monitoring rules that can be automatically managed by the WfMS during the workflow execution. Even if the implementation of the top level model shown in fig. 1 for process focused risk management can contribute to reduce the cost of data collection and to the acquisition of precise data about workflow execution, the model brings its advantages especially in the