By Patricia V. Wright (FCG, BL, LL.B Hons.) Group Head, Legal and Corporate Services / Group Company Secretary, WAICA‑Re Sierra Leone
Enterprise Risk Management (ERM) has long been part of business practice, but only in recent decades has its importance been fully acknowledged. In today’s environment of regulatory shifts, technological disruption, climate exposure, and economic uncertainty, ERM has become central to how organisations plan, make decisions, and safeguard long‑term value.
At its core, ERM provides a structured framework for identifying, assessing, and managing risks in alignment with board‑approved strategic objectives. Its purpose extends beyond mitigating threats: it strengthens resilience, supports informed decision‑making, and ensures organisations can adapt to disruption while continuing to operate effectively.
Modern risk management is no longer about simply controlling exposures. Organisations are expected to remain resilient — able to withstand shocks, adapt to change, and sustain performance. ERM links risk to strategy and everyday operations, embedding risk awareness into decision‑making and enabling organisations to respond more effectively when conditions shift.
A key strength of ERM lies in integration. Financial, operational, legal, regulatory, and reputational risks are considered together rather than in isolation. This holistic view ensures that exposures are understood in context and managed consistently across the enterprise.
The Company Secretary is pivotal in ensuring governance structures support compliance and that regulatory developments are embedded in organisational practice. Positioned between the board, management, and control functions, the Company Secretary facilitates communication, ensures emerging risks are escalated promptly, and helps align governance, risk, and compliance.
Clear communication is critical: it improves decision‑making, reduces oversight gaps, and ensures risks are not overlooked. By keeping risk visible at board level, presenting information clearly, and ensuring decisions are recorded and implemented, the Company Secretary ensures risk remains a priority rather than an afterthought.
In reinsurance, ERM is particularly vital. Weaknesses in risk management can affect underwriting, pricing, and capital adequacy, especially in the face of large or unexpected losses. Emerging risks such as climate events and cyber threats add further complexity. Frameworks like COSO and ISO 31000 highlight the need for governance and integration, reinforcing that risk management is most effective when embedded into organisational processes.
Strong governance underpins ERM. Boards set risk appetite, align risk with strategy, and maintain oversight of exposures. The Company Secretary supports this framework by ensuring processes are clear, information is reliable, and attention to risk is consistent. This role provides a broad view of how risks are managed across the organisation and ensures accountability at every level.
Enterprise Risk Management has become indispensable to modern governance. Its success depends not only on frameworks but on strong oversight and effective communication. The Company Secretary’s role is central — ensuring governance structures function, risks remain visible, and resilience is sustained. As risks evolve, this contribution is increasingly critical to protecting long‑term organisational value.