These days, even a cursory scan of the headlines brings fresh reminders of risk, from the ramifications of climate change to shocking terror events such as the recent attacks on Paris by the Islamic State. Now more than ever, companies need risk managers.

Paradoxically, however, the new ubiquity of risk threatens the relevance of the enterprise risk management (ERM) function within large companies. Senior leaders know well that in an ever more perilous world, it’s impossible to do business if you’re always risk averse.

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