Chapter 8 Simkins

1.Explain the strategic value of Key Risk Indicators to Enterprise and Strategic Risk Management. Include in your response the value of the entire set of Design Principles. Explain how you would "sell" this concept to Senior Management in your organization.

Chapter 9 Simkins

2. Explain your understanding and definition of Risk Tolerance, and how the different levels guide your Risk Management decision making. What processes are utilized in assessing Risk Tolerance for yourself as well as your Senior Management? (research this topic online first) Also, explain the concept of speculative risk, pure risk and subjective risks and how all three of these terms/concepts guide your decision making. Explain the capability, the capacity and the psychology behind risk tolerance and the ability to manage corporate risks.