University Business - May 2009 - (Page 42)

Manageable Risk gests that schools focus on retaining students, which might mean A Process, Not a Wall An ERM program must be overarching and holistic, but it must also instituting lower-than-usual tuition increases than in the past. Face it: No institution is going to fix major financial woes in a be flexible enough to respond to any events or broader array of risks that might come down the pike. ERM is supposed to make your year, or maybe even two years, or more. Denning advises looking at economic challenges as an opportunity to be more strategic—such risks more predictable. Could even the most well-thought-out ERM program have an- as by offering more adult education programs at night that can bring ticipated the worst recession since the Great Depression? No. As a in income. Institutions might even offer seminars on risk managetool, ERM has its role. But it can’t prevent an institution from losing ment for regional companies. Right now, college and university leaders are scrambling to find money under all circumstances. Emory’s Klein believes the question shouldn’t be “Why didn’t ERM protect your pocketbook?” but in- every way possible to save money, from mothballing parts of their stead “What does ERM do to help when there’s a problem?” She transportation fleets to shifting to e-mailing information instead of mailing it. “Everyone is evaluating evexplains: “With ERM you feel more confierything they do,” says Bova of Cornell. dent if you have a problem, because you have “We’re charged with finding innovative enough tools, resources, individuals, processideas to try to save money.” es, and trigger points that enable you to get A.J. Gallagher Risk Management Services, on top of a problem quickly.” www.ajg.com What ERM also does is modify a uniCheCk the online version of this artiCommittee of Sponsoring Organizations versity’s culture, by the nature of its process, cle for more information on what to expect of the Treadway Commission, adding an element of elasticity. “The new from the risk identification and mitigation www.coso.org culture [of ERM] means you’re more flexible processes, plus a list of 29 colleges and Shelter Island Risk Services, in dealing with change,” says Richard Denuniversities that have implemented ERM. www.shelterislandrisk.com ning, chief executive of Shelter Island Risk United Educators, www.ue.org Services, a risk consulting firm that is a unit Susan Gurevitz is a Philadelphia-based freeUniversity Risk Management and of A.J. Gallagher. “ERM is crucial to be able lance writer who specializes in covering risk Insurance Association, www.urmia.org WolffPack_UnivBusiness_0508.qxd to nimbly operate in times like this.” He sug- 5/8/08 10:23 PM Page 1 management. Resources Excellence is affordable. You can have it all: superior financial aid functionality, the convenience and cost efficiency of web-based technology, plus easy integration with your core administrative systems. FINANCIER,™ from the people who understand that administering financial aid is about more than just numbers. 1-888-WOLFFPACK • www.wolffpack.com • e-mail: sales@wolffpack.com 42 | May 2009 universitybusiness.com http://www.ajg.com http://www.coso.org http://www.shelterislandrisk.com http://www.ue.org http://www.urmia.org http://www.wolffpack.com http://www.wolffpack.com http://www.universitybusiness.com

Table of Contents for the Digital Edition of University Business - May 2009

University Business - May 2009
Contents
Editor's Note
College Index
Company Index
Advisory Board
Behind the News
Sense of Place
Money Matters
Viewpoint
Human Resources
Setting the Standard
Manageable Risk
Five Steps to a Powerful Social Networking Strategy
Higher Ed in the Recession
Community Colleges
What's New
End Note

University Business - May 2009