If properly understood and implemented, EC frameworks provide not only a roadmap for compliance, they may provide invaluable information for risk appetite, risk management, capital allocation, pricing, underwriting and strategic decisions. But if used ineffectively, they can become expensive tick-box exercises that hamper long-term decision making. Moreover, they can mislead management into falsely believing risks are adequately covered, or force them into actions that go against sound business principles.
This survey shows that companies have embarked on a journey of continuous improvement. This includes technical aspects and methodology, but also education and communication to support wider embedding across the firm.