Page 47 - Risk Management in current scenario

Risk Culture Essential for

Effective Development of

Enterprise Risk Management

The global crisis brought risk management to the

forefront through improvement in the corporate
governance structure world over. It is now clear that risk
cannot be eliminated but can only be managed. This is

one of the key reasons that development of risk
management is seen across the world as leading to
strengthening of the corporate governance structure

Once a professor asked a question to the class, what is the difference
between the Indian Institute of Management (IIM) and any other business
school? He went on to elaborate that land can be purchased equivalent
to the size of IIM, the building can be built similar to IIM, the syllabus
can be set same as IIM, faculty can also be recruited and a tough exam
like CAT can be created, but still, many of the business schools do not
match IIM, why? Replying to his own question, he said, all the contents
listed above can be copied and implemented but it not possible to
replicate IIM, the simple reason is you cannot copy "Culture" which
differentiates IIMs from any other business school in India.

Culture flows within the institution or organization, it passes from one
individual to another, one generation to another, such things are not written

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