Home -> Law Blog Directory -> Corporate Governance Blogs -> The Harvard Law School Corporate Governance Blog
(866) 635-2689 for Personal Injury or (866) 635-9402 for Criminal Defense
Find a Local Lawyer
Divorce (866) 635-6190
Personal Injury (866) 635-2689
Criminal Defense (866) 635-9402
Corporate Governance
: The Harvard Law School Corporate Governance BlogShould Your Board Have a Separate Risk Committee?
By Harvard Law School Program on Corporate Governance
It is generally accepted that the full board has overall responsibility for risk oversight, mirroring the board?s responsibility for overseeing strategy. In deciding how to organize itself to oversee risk and risk management, the question arises as to whether the board should establish a separate risk committee. This article explores that question and provides examples to clarify the role and responsibility of a separate risk committee in situations where the board decides to establish one.
Through the risk oversight process, the board of directors obtains an understanding of the critical risks inherent in the corporate strategy, accesses useful information from internal and external sources about the critical assumptions underlying that strategy, remains alert to organizational dysfunctional behavior that can lead to excessive risk taking, and provides input to executive management regarding critical risk issues on a timely basis. How the board views risk oversight as a process should dictate how it chooses to organize itself for purposes of executing that process. The risk oversight process enables the board and management to develop a mutual understanding regarding the risks the company faces over time as it executes its business model for creating enterprise value. In organizing itself for risk oversight, what are some of the factors for boards to consider and when should boards establish a separate risk committee?
Click here to read the complete post...
Full post as published by The Harvard Law School Corporate Governance Blog on February 12, 2012 (boomark / email).
Revised UK Corporate Governance Code Mandates Risk Management But Declines to Require Risk Committees
The revised UK Corporate Governance Code contains a new principle stating that boards are responsible for determining the nature and extent of the significant risks they are willing to take in achieving their strategic objectives...
KBA BOARD OF GOVERNORS SEARCH ON FOR NEW BAR COUNSEL COMMITTEE REWRITING JOB DESCRIPTION OF BAR COUNSEL, ELECTION NEWS
A source close to the KBA has reported to LawReader that a committee has been appointed by the Board of Governors to write a new job description for the KBA Bar Counsel, and to consider the employment of separate legal counsel to advise the Board of governors...
Comments to EU Corporate Governance Proposals Emphasize Strong Board Risk Committees and Chief Risk Officer
A separate and mandatory board risk committee is a good corporate governance practice, said commenters on a European Commission proposal, but the requirement for a risk committee should be proportionate and care should be taken to avoid diluting the responsibilities of the whole board for risk oversight...
Corporate Governance, the Bailout and a Lost Opportunity (Part 3)
So what could Congress have done in the Bailout Bill? The model already exists. The approach might be labeled "SOX Plus." Congress could have mandated that the boards of all companies participating in the bailout form a committee designed to assess risk (something that could be assigned to the audit committee)...
Sir David Walker Espouses Board Risk Committees and Involvement of Institutional Investors
Companies should have a board-level risk committee to advise on risk appetite and tolerance as core elements in the firm?s strategy, according to corporate governance guru Sir David Walker...
Systemic Risk Regulation for the EU
The European Union is proposing to establish a new European Systemic Risk Board (ESRB), an independent multi-member board to focus specifically on identifying risk to the stability of the EU financial system as a whole...
Foreign Investment and National Security Act of 2007
Strengthens examination requirements of the Committee on Foreign Investment in the United States
Fayette County School Board
faces sex abuse class action lawsuit
Undetected Sewage Spill
Prichard Water Works and Sewer Board spends $17 million on upgrades and testing.
Racist Voicemail
Stamford Board of Education pays student $37,500 settlement after failing to protect her from racial discrimination.
Utilities Whistleblower
New Jersey Board of Public Utilities agrees to $485,000 fine for setting up a private bank account.
Wrong Bus
Greenbrier County Board of Education agrees to $15,000 negligence settlement after dropping a 5-year-old off at the wrong spot.
Cressi Scuba Regulators Recalled Due to Risk of Drowning
Scuba Regulators Recalled Due to Risk of Drowning
#1 Online Legal Resource
On 08-25 at 15:46PM
Acute perpendicular parking #NYPD #NYFD
On 08-18 at 22:18PM
Parallel parking gone bad. Too much gas UES NYC
On 08-18 at 21:41PM
UES NYC
On 08-18 at 21:25PM
Twitter suspends journalist critical of broadcast partner's coverage on dubious grounds @guyadams #nbcfail #twitterfail
On 07-30 at 17:57PM
Model example of 1st Amendment suppression by the People of New York City's Michael Bloomberg #OWS #NYPD
On 07-12 at 21:07PM
AG Holder lackadaisical on Operation in our Sites domain name seizures & RIAA lobbied free speech suppression @dajaz1
On 06-08 at 22:44PM
Why is the Catholic Church going to court over Obama contraception policy? @NewYorker commentary
On 05-31 at 10:08AM
Monks sue Louisiana for right to sell caskets made from forrest destroyed by Katrina
On 05-31 at 07:47AM
Are the abortion ultrasound laws headed for the Supreme Court?
On 05-15 at 21:52PM
 |
|
Contact Us | About Us | Celebrity Law Blog |
Our Partners | Disclaimer
| Law Blog Directory
| Law Jobs
| Law Tweets
| Oil Spill Video
All original material © 1999-2011 by USLaw.com. All other material, including Blog Directory feed content, are © by their respective copyright holders. |