risk management

The Importance of Enterprise Risk Management

CENTRAL ARIZONA COLLEGE (the DISTRITCT) through its leadership, administrators, faculty & staff are committed to fostering an environment of support that will encourage risk-informed decision-making balanced with innovation as we explore and develop opportunities, resolve issues, and improve the way we work to achieve our business objectives. All employees should incorporate risk management into governance, decision making, and key business and operational processes as set out in this framework. All existing and new risk management activities will align to this framework.

Governance Oversights, and Leadership:

The OFFICE OF ENTERPRISE RISK MANAGEMENT in collaboration with the working group is responsible for implementing ERM, which includes drafting policies and developing tools, resources, and training on ERM. This group oversees the identification and assessment of risk to operations and strategy and the management and communication of risk information. The working group is responsible for tracking overlapping risks, reporting on risks that are not being appropriately managed and monitoring for emerging risks. The Working Group will meet at least quarterly.

Currently the ERM Working Group members are represented by the following CAC business units:

Director of Facilities
Student Services
Athletic Department
Academic Affairs
Information Technology
Business Finance
Police
Human Resources

Program Charter (PDF)

Hazardous Materials Removal

Risk Assessment Guide

General Purpose Waiver

Operations Scouting Report/Updates Environmental Health & Safety Hazardous Material Program

Consideration of the Context of Operations:

Consideration of the college’s unique environmental context is important to review before beginning a risk assessment process. It helps articulate objectives, clarify the scope, decide upon appropriate participants before beginning.

These are the key external factors that influence and shape operations:

External Factors	Local, Regional, National & International Environment
Social & cultural	We are a diverse rural college with five campuses. We have an ethnically diverse student population, our faculty and staff are growing and developing. We have socially and culturally active community members.
Legal & regulatory	All campuses have important environmental, zoning and land-use restrictions. Accreditation rules and guidelines Benchmarks and “best practices” from peer schools
Technological	Heavy and ever-increasing reliance on technology and the internet Student expectations push technology implementations

Risk Management Basics

Step 1: Identify Exposures to Loss

Prevent and/or Reduce Exposure

To prepare for or prevent exposure at your institution, leadership must identify the many ways the institution could be negatively affected by specific circumstances.

Risk identification

The purpose of risk identification is to find, recognize and describe risks that might help or prevent you from achieving your objectives. Identifying risk enables uncertainty to be explicitly considered. All sources of uncertainty and both beneficial and detrimental effects might be relevant, depending on the context and scope of the assessment.

Step 2: Analyze Exposures & Explore Mitigation Techniques

Assess the impact and probability of occurrence of each potential risk. Develop risk control policies, procedures, and practices to reduce the probability of loss to the institution. Approaches may include risk financing, risk transfer, and risk control measures.

Step 3: Select Appropriate Techniques to Address Exposures

Choose approaches (treatment) that best fit your institution.

Techniques employed vary by risk and with each risk analysis. Risk treatment: The purpose of risk treatment is to select and implement options for addressing risk. Having completed a risk assessment, treating a risk involves selecting and implementing one or more treatment options that will change the likelihood of occurrence, the consequences of the risk, or both.

Risk treatment involves an iterative process of:

• formulating and selecting risk treatment options.
• planning and implementing risk treatment.
• assessing the effectiveness of that treatment.
• deciding whether the remaining risk is acceptable; and
• if not acceptable, taking further treatment.

Step 4: Implement the Chosen Techniques

Consider the efficiency and cost effectiveness of the applied risk management techniques within your organization.

President Jackie Elliott Statement

” Dear Team – Each day in our work life as in our personal life we face risks; albeit those risks may be real or perceived. In higher education, each moment offers opportunities; some good, some not so good and others which could have an undesirable, lasting impact on the institution.

As a college we are committed to advancing CAC’s risk intelligence. In alignment with the college’s mission, values, and goals, efforts to develop measurable intelligence are taking place. This will assist in helping us to effectively manage the likelihood of various risks and impact on activities and events. Oftentimes circumstances which are left unchecked may adversely affect the achievement of an organization’s objectives.

As President I am asking all CAC employees to take a moment to learn, recognize, and appreciate the concepts associated with risk intelligence, particularly in the District’s instructional and operational environment which has a plethora of risks and untapped opportunities worth paying attention to as they are rapidly expanding.

Enterprise Risk Management initiatives represent a commitment that tends to upset cultures that are resistant to change. However, incremental gains in risk intelligence can be exceptionally effective in helping achieve desirable outcomes. Think of risk intelligence not as a static feature, rather dynamic and always a journey. The office of risk management has acted by initiating the necessary steps to conduct an enterprise risk inventory that will lead the District towards risk prioritization, establishing thresholds, checks-balances and recommendations while managing risk within the existing culture. It is a priority of risk management to explore concepts and innovative opportunities while obtaining feedback and participation from all stakeholders.

An Enterprise Risk Management (ERM) workgroup has been developed and will provide dedicated support as we move forward. Updates on programming and efforts will be provided regularly by Risk Management. Additionally, a new webpage is being developed as a resource for faculty and staff.

As President I ask that you all support the effort by learning more, participating when possible, and helping the District realize the next steps towards intended outcomes, to be a great place to work, study and learn.

If you have any questions, please contact Ryan Beauford, Director of Risk Management.

Thank you. “

Jackie Elliott, 1/31/2024

Scouting Report Welcome

Welcome to the Scouting Report Page where you will find published quarterly recent news and public notices pertaining to risk and compliance and other updates relating directly to Central Arizona College, Enterprise Risk Management (ERM) and Compliance. You will also find responses in the FAQ section and contact information for all matters pertaining to CAC insurance, risk management and compliance.

The Office of Enterprise Risk Management (ERM) and Compliance is led by Ryan L. Beauford, Chief Enterprise Risk and Compliance Officer. The role of ERM is to provide the governance, framework, and guidance to assist and support campus leadership and stakeholders in identifying events that have the potential to impact the Central Arizona College (district) both positively and negatively, and to manage risks associated with those events.

It is the responsibility of CAC-ERM to inform the campus community and provide resources for those who seek to learn more about ERM, what has been accomplished or those initiatives currently being acted upon. The report covers a range of topics from environmental health and safety, training opportunities, regulated waste handling, workplace & construction safety, matters of compliance, contracts/agreement information generally guiding individuals towards solutions.