To make effective ERM simple and practical, you need to take complex material, break it down, and make it accessible to anyone in your organization. A taxonomy enables you to do this with all your organization’s resources.
By resources, we mean people, policies, vendors, physical assets, software applications, services, and data repositories used throughout the organization. Since each of these resources is finite (or relies on other finite resources), maximum efficacy requires that they be applied sparingly — or more accurately, where they will have the biggest benefit.
Resource Allocation Best Practices
Each resource has best-practice assessment criteria, satisfying multiple compliance requirements including FFIEC, PCI, IT ISO, SOX, SEC, and others at once. LogicManager’s taxonomy technology provides an information structure, making this information (collected across the organization) objective, quantifiable, and comparable, enabling better analysis, issue resolution, and escalation when necessary. LogicManager’s workflow capabilities, including tasks notifications and a formalized approval process, enable the next appropriate steps to be taken swiftly.
Different areas across the organization are collecting the same resource information, they just don’t know it. For example, accounts payable, contract management, vendor management, business continuity, and IT all collect overlapping information about your vendors. By understanding what information is being collected by these areas for each resource, you can easily rationalize/consolidate assessments and data fields, and design these fields within LogicManager as a central repository for everyone involved. The application of the risk-based approach to these assets is what makes risk management and resource allocation cohesive, integrated processes.
LogicManager makes risk management and resource allocation a cohesive processes. We’ll help you build a library of every critical resource in your enterprise, then create an intuitive, accessible network. We do so through simple drag-and-drop functions, direct links to other resources, related mitigation and control activities, and dependent business processes.
Use the system to connect everything in one common place, making it possible to dramatically streamline information collection and management, both for you and the process owners you work with. LogicManager’s Taxonomy technology helps you know who else is connected to the same information. The key is to figure out how resources are related to one other and what combination of these resources are most important to critical areas of the business.