Risks & Rules AGENCY ACTIONS SAFETY & SOUNDNESS COMPLIANCE RISK MANAGEMENT Bird's-eye view of risk Community banks might not be obliged to conduct regular enterprise risk management, but that doesn't mean it's not a good idea. The benefits of a solid ERM program can stretch far beyond compliance. By Karen Epper Hoffman A t a time when community banks are fighting to reduce the regulatory mandates that are draining their resources, it would seem odd that many community banks are looking to embrace enterprise risk-management (ERM) programs. After all, regulators don't require community banks to have formal ERM programs. However, even smaller banks are recognizing that successful risk-management initiatives can boost profitability, mitigate third-party risk and aid in meeting strategic goals. But what exactly is ERM? According to Amber Goodrich, compliance strategist at full-service financial technology and regulatory compliance provider CSI, ERM is the tactical implementation of risk processes across all independentbanker.org ICBA IndependentBanker 55http://www.qmags.com/clickthrough.asp?url=www.independentbanker.org&id=20303&adid=P55E1