AI answer Enterprise risk management (ERM) and traditional risk management share many specific practices. However, there are also key differences between the two systems. One difference between traditional risk management and ERM is that ERM adopts a "silo" approach to managing risks in which separate departments or areas do not necessarily communicate with one another expands the definition of risk to include not only the potential for loss, but also the potential for failing to take advantage of an opportunity defines risk as the potential for loss and primarily focuses on preventing or minimizing such losses assumes that the responsibility for risk management is confined to specific employees who are risk management specialists