CONTENTS Summary 1 Section 1 6 Introduction 6 1.1 Objective 6 1.2 How to Use This Guidebook 8 Section 2 Airport ERM 2.1 What Is ERM?8 2.2 Value of Implementing ERM at Airports 9 2.3 ERM Guidance/Standards 2.4 Elements of an ERM Framework 13 2.5 Examples of Airport ERM in Practice 13 Section 3 Governance and Infrastructure 16 3.1 ERM Policy and Strategy 16 3.2 Determine Risk Appetite 18 3.3 Developing a Risk Appetite Statement 18 3.4 Sponsorship and Positioning 19 3.5 Develop a Governance Structure 21 Section 4 The ERM Process 24 4.1 Identification of Risk 24 4.2 Prioritization of Risk 28 4.3 Review of Risk Controls 31 4.4 Risk Response Planning 32 4.5 Monitoring Risk 35 4.6 Reporting Risks36 4.7 Electronic Tool 39 Section S ERM Implementation 40 5.1 Develop an Implementation Plan 40 5.2 Scalability 40 5.3 ERM Maturity 40 5.4 Resourcing 42 5.5 Establish an ERM Culture 43 Section 6 Integration of ERM45 6.1 ERMandSMS 45 6.2 ERM and Strategic Planning/Decision-Making 46 Section 7 Continuous Improvement and Sustainability 50 7.1 Evaluating the Success of ERM Performance 50 7.2 Staff Development 50 7.3 Hints and Tips to Sustain ERM 50 Appendix A Definitions and Acronyms 53 Appendix B Example Maturity Model 57 Appendix C Electronic Tool : User Instructions 61