ASSIGNMENT 1 SEMESTER 2 2025
UNIQUE NO.
DUE DATE: 28 AUGUST 2025
, Enterprise Risk Management
Section A: Challenges in Implementing ERM at Ubuntu Holdings
1. Resistance to Change – Employees and managers may resist new risk
processes, preferring familiar informal systems.
2. Limited Risk Awareness – Staff may lack knowledge about ERM, leading to
inconsistent application.
3. High Implementation Costs – Systems, training, and technology needed for
ERM may strain financial resources.
4. Complex Regulatory Environment – Operating in the mining industry requires
compliance with stringent labour, safety, and environmental laws, which can
complicate ERM implementation.
5. Integration Issues – Risk management is often viewed as separate from
strategy rather than part of daily decision-making.
How to Address These Challenges:
Conduct training and awareness workshops.
Ensure leadership commitment from the board and CEO.
Implement ERM gradually in phases.
Align the ERM framework with ISO 31000 and COSO for efficiency.
Assign clear accountability for risk ownership at all levels.
Section B: ERM Framework, Policy, and Process
ERM Framework: The overall structure that guides risk management across the
organisation. It outlines principles, governance structures, and integration with
strategy.
ERM Policy: A formal document that states the company’s approach to risk
management, roles, responsibilities, and reporting lines.