Assignment 1
Semester 2 2025
Due 28 August 2025
, RSK2601
Assignment 1
Semester 2 2025
Due 28 August 2025
Enterprise Risk Management
Enterprise Risk Management (ERM) Implementation and Analysis
Challenges Ubuntu Holdings Might Face in Implementing ERM and How to
Address Them
Ubuntu Holdings, as a medium-sized mining services provider based in Limpopo and
operating in a highly regulated, high-risk environment, faces several key challenges in
the implementation of Enterprise Risk Management (ERM). These challenges and
potential solutions are as follows:
1. Regulatory and Compliance Pressures
Challenge: The mining sector is highly exposed to evolving regulations, environmental
legislation, and labor requirements. Failure to comply may result in fines, operational
stoppages, or reputational damage.
Solution: Conduct regular compliance audits, engage legal and regulatory experts, and
align ERM practices with recognized frameworks such as ISO 31000 and COSO.
Proactive monitoring and compliance reviews will ensure operational continuity.
2. Resource Constraints and Skills Gaps
Challenge: Limited financial resources, underdeveloped IT infrastructure, and a
shortage of skilled professionals (e.g., risk analysts) can restrict effective ERM adoption,
particularly in remote areas.