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Topic: Chapter 7 - "Turning the Organizational Pyramid Upside Down Ten Years of Evolution in Enterprise Risk Management at United Grain Growers"
Overview: Few companies stand out as successful pioneers in enterprise risk management (ERM), especially one that undertook the initiative almost 15 years ago. One such ERM pioneer was United Grain Growers (UGG), a conservative 100-year-old Winnipeg, Canada- based grain handler and distributor of farm supplies. Review the case study in Chapter Seven (7) in the Implementing enterprise risk management: Case studies and best practices textbook to understand the details of their ERM journey.
1. Why does a more participative management style ("tipping the pyramid over") lead to greater responsiveness to customers' needs, increased accountability, and more innovative solutions to challenges than a hierarchical "command and control" structure?
2. Under what circumstances might the hierarchical "command and control" structure produce superior results?
3. What factors do you believe led UGG/ AU to be pioneers in ERM? Was it the industry/ company/ history/ circumstances? Was it a changed organizational "culture" or perhaps good management? Describe the leading factor(s) in your response.
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