ERM Work Group – A senior level committee appointed by the TCNJ President, comprised of individuals familiar with the varied aspects of the College’s operations, charged with general management and implementation of the TCNJ ERM program. (The current ERM Work Group consists of the Vice President and Treasurer, Vice President and General Counsel, Director of Internal Audit, and the Director of Compliance.)
Impact (consequence) – The outcome of an event affecting objectives.
Likelihood – The chance that something will happen.
Mitigating activities/strategies – Actions, procedures, and processes used to manage (limit, reduce, avoid, accept, transfer, and/or share) and monitor risks.
Operational Risk Management Owner (ORMO) – Generally a Director level position, reporting to a Cabinet member, with operational responsibility for assessing and managing risk, responding to and cooperating in audits and compliance reviews, requesting and allocating appropriate resources, implementing certain prescribed remedial measures and evaluating performance of subordinates with respect to risk management.
Risk Cycle – An approach of enterprise risk management as an ongoing structured process for risk identification & assessment, risk analysis, mitigation & response, implementation, and monitoring & reporting of risks and analysis of opportunities.
Risk – An event or action that could adversely affect or prevent the achievement of the College’s objectives. Type of risks include strategic, operational, reputational, financial, technology, compliance, and fraud.
Risk Appetite – The amount of risk an organization is willing to accept in pursuit of value or other objectives.
Risk Executive Sponsor (RES) or Risk Owner – Cabinet officer responsible for a particular risk with managerial responsibility for assessing and managing risk, ensuring the timely and appropriate response to audits and compliance reviews, requesting and allocating appropriate resources, and evaluating performance of ORMO subordinates and the RES’s division with respect to risk management.