This document is the best thing COSO has published in years. I mean… ever… The decision-led framing is genuine, not cosmetic. The practical guidance is actionable. The critique of documentation-heavy ERM is honest. It’s still a COSO document, which means it carries legacy baggage: risk appetite as a meaningful construct, the five-component framework as the… Continue reading Alex Sidorenko review of the new COSO ERM Guidance 2026
Tag: Uncertainty Quantification
How Risk Management Creates Immediate Economic Value
When uncertainty becomes a competitive advantage rather than a compliance exercise Risk management delivers hard cash savings when it quantifies uncertainty in operational and financial decisions. Organizations that integrate probabilistic thinking into credit management, operations, capital allocation, and insurance purchasing consistently reduce losses, free up trapped capital, and outperform competitors still relying on ERM nonsense.… Continue reading How Risk Management Creates Immediate Economic Value
Stop avoiding the risk quantification elephant in the room
In a profession dedicated to identifying and managing uncertainty, there exists a puzzling contradiction: many managers actively avoid quantifying the very risks they’re tasked with. You probably know risk managers like that, we all do. While quantitative risk analysis forms the foundation of effective decision-making under uncertainty (see any textbook on decision science), it remains… Continue reading Stop avoiding the risk quantification elephant in the room
