 Another definition provided by the International Organization of Standardization (ISO 3100) defines ERM as coordinated activities to direct and control an organization with regard to risk.According to James Lam, the definition of ERM is a value added function can be described as the inclusive and cohesive framework for managing key risks in order to achieve business goals, mitigate unexpected earnings unpredictability, and increase firm value to reduce risk which is a variable that can cause deviation from an expected outcome.According to James Lam, author of the book “Enterprise Risk Management,” there are several primary benefits of using ERM