A recent webinar — "Leveraging Integrated Risk Management for Strategic Advantage: A Roadmap for Success" — sponsored by Origami Risk and hosted by RIMS, explored this transformative strategy. Featuring insights from Jeff Enzinger of Origami Risk’s EHS team and Andrew Shay, Risk Manager at Overhead Door Corporation, the webinar explored the benefits of IRM, addressed common challenges, and highlighted how technology, when thoughtfully applied, can be leveraged to enable IRM success.

The Benefits of IRM

Originally defined by the tech research and consulting firm Gartner, IRM is a business strategy that seeks to identify, assess, and manage all of an organization's risks. It involves integrating risk, safety, and compliance practices across various departments and business functions to create an enterprise-wide risk management framework.

"IRM is not just a concept," Enzinger explained at the outset of the webinar, "but a holistic approach to risk management, safety management, and compliance teams all working together."

IRM has the potential to deliver several key benefits:

• Enhanced visibility: IRM provides a unified view of all potential risks, from safety hazards to compliance and operational risks, enabling organizations to manage them more effectively. This includes the ability to identify risks and hazards that could cause incidents that have not previously occurred but could significantly impact operations.
• Improved collaboration: By connecting risk, safety, and compliance teams, IRM fosters better communication and collaboration, breaking down silos that may hinder an organization's ability to address risks effectively.
• Data-driven decision making: IRM leverages technology to capture, analyze, and report data, providing decision-makers with the information they need to proactively manage risks, reduce losses, and lower operational costs.
• Cost reduction: Implementing an IRM strategy can lead to a reduction in the total cost of risk (TCOR) by reducing workers’ compensation claims,  lowering insurance premiums, improving safety outcomes, and minimizing regulatory penalties. 

Implementing IRM: Challenges and Solutions 

Many companies face ingrained communication issues, data silos, and resistance to change that can hamper IRM efforts. During their discussion, Enzinger and Shay focused on two other challenges they've encountered: poor processes and securing leadership buy-in.

Regarding ineffective processes, Enzinger cautioned against the common misconception that technology alone is a solution. "Technology doesn't fix any of those processes. It really just provides a magnifying glass for how bad those processes were to begin with." This highlights the importance of focusing on process improvement before applying technology.

Shay expanded on this point, drawing from his experience at Overhead Door. He suggested that organizations considering IRM should allocate ample time for each department to thoroughly examine and optimize their processes. This examination should include consideration of how the data collected can be used by other functions or departments. This preparatory step can significantly smooth the transition and enhance the overall effectiveness of an IRM framework.

Equally important is securing buy-in from leadership and engaging stakeholders throughout the process. Shay shared his experience of overcoming resistance by consistently emphasizing the efficiency improvements and job simplification that IRM can bring. By focusing on these tangible benefits, he was able to build support for new initiatives.

Leveraging Technology for Effective IRM

As highlighted throughout the webinar, technology plays a crucial role in enabling IRM's effectiveness. Risk Management Information System (RMIS), Environmental Health and Safety (EHS), and Governance, Risk, and Compliance (GRC) solutions all support IRM efforts.  When used together, especially as part of a single, cohesive platform, these technology solutions serve as the engine that facilitates IRM by providing tools for automating processes, capturing and sharing data, streamlining communication, enabling real-time monitoring, and demonstrating value to leadership.

Overhead Door's journey illustrates how technology, when thoughtfully applied, supports IRM efforts. Shay provided one example of  a  successful process transformation: "We went from spending two hours to report a single incident to just ten minutes." This efficiency saves time and also increases the quality and timeliness of data, enabling a more proactive approach to risk management.

The results are significant. Shay shared, "We have over 65 %  reduction in our recordable incident rate, a 50% reduction in our lost time rate, a 30% reduction in our retained claims cost, which, of course, as a loss sensitive program, it's a bottom-line issue." These outcomes demonstrate the tangible benefits of an integrated approach supported by the right tools.

Key Takeaways

For risk and safety professionals considering IRM, the webinar offered several valuable insights:

• Focus on process improvement before applying technology
• Secure strong leadership support and engage stakeholders throughout the process
• Adopt a phased approach to IRM implementation, allowing for continuous refinement
• Leverage technology to enhance visibility, automate workflows, and drive accountability
• Look for opportunities to expand the reach of IRM across the organization 

The Path Forward: Realizing the Benefits of IRM

In "Leveraging Integrated Risk Management for Strategic Advantage: A Roadmap for Success,” Jeff Enzinger and Andrew Shay demonstrate that when implemented thoughtfully, IRM can drive significant improvements in safety performance, operational efficiency, and overall risk management effectiveness.

By bridging the gaps between risk, safety, and compliance functions, IRM provides organizations with a unified framework for managing risks in an increasingly complex and interconnected environment. As organizations continue to navigate this landscape, an IRM approach, supported by robust technology solutions, provides a powerful framework for enhancing resilience and driving strategic advantage.

We invite you to watch the full webinar recording available here. To learn more about IRM, these ​Origami Risk ​resources are an excellent starting point: 

• Beyond Silos: Strengthening Operational Resilience with Integrated Risk Management​

• Boosting Productivity with Integrated Risk Management (IRM) 

• Making the Leap to Integrated Risk Management: 3 Steps to Implementation