Theoretically, ERM software can help firms prepare for any potential risk to their business. That said, the most common risk management approaches focus on the following risk factors:
Strategic risks, which are risks created by (or affected by) business strategy decisions.
Hazard risks, which are risks that pose significant threat to life, property, or the environment.
Financial risks, which are risks directly related to a company’s finances.
Operational risks, which are risks caused by failed business processes or policies.