A few weeks ago, I received an Enterprise Risk Management Sample Report. As the name implies, it was a sample report to help prospective buyers decide whether or not they would be interested in purchasing a company’s enterprise risk management solutions. However, the report did not end there. There were several important elements to be taken into consideration, including the following:
Not only was the report detailed but it included realistic objectives that were achievable. When looking at other reports from other businesses, it is common to see unrealistic objectives. Some even include unattainable targets and goals. This shows how companies don’t believe they can achieve what they say they will. The Enterprise Risk Management Sample Report proved these claims false and showed that businesses can achieve significant successes within their enterprise risk management and other strategic initiatives.
Financial statements are also commonly overlooked. However, they should be part of any business plan. In fact, most successful enterprises have financial statements included in their strategies and plans. To top it off, the report covered a wide range of financial areas including operational performance, capital budgeting, and control.
Within the report, there was also some guidance regarding management teams. Management teams are a vital part of any organization and having effective management teams can make a great deal of difference in the success of a business. The management team in the Enterprise Risk Management Sample Report included the following. Managing Director, Chief Executive Officer, Chief Financial Officer, Managing Director of Strategy, Executive Finance Manager, and Chief Executive Officer, President, Vice President, and Senior Vice President.
For small business enterprises, this list is actually quite extensive. However, with so many resources available, it is quite easy to look for leadership that fits one’s needs. By taking the time to review this report, a business owner can easily determine if the resources are going to be effective. However, before taking on leadership roles in one’s business, it is a good idea to do extensive research into leadership styles and learn which of them is best suited for your small business.
Another detail to be considered is how the leader within a business will fit into one’s corporate culture. For example, a sole proprietor is not always comfortable with the idea of a CEO, as the individual has not built a large network of loyal customers, and the leader will not have as much influence as the CEO will. One option, a small business owner can consider is having a CEO who has sufficient experience, but without the influence. Having the individual take on leadership roles will provide the business owner with more freedom and flexibility to make more decisions.
Before entering into a business partnership or other joint venture, it is a good idea to be certain that the partners agree on every aspect of the business. This means they must all sign off on the financial statements and take ownership of the management team. While many people feel that financial and management control is too much for small business owners to handle, they do realize that companies that operate without owners have a problem.
The Enterprise Risk Management Sample Report was full of relevant data, and the benefits of being involved in small business ownership. Business owners need to put everything they have learned into practice. If the business is currently run by an individual, then it is advisable to give the person the opportunity to learn how to become part of a larger group of people. By doing so, they will also understand the importance of taking on leadership roles and be able to execute in the best interest of the enterprise.