1. Judgement
The existence of human frailty which can affect ERM decisions subject to the conditions at the
time of decision making, including available time, information presented, and business pressures.
2. Breakdowns
There is also the possibility of breakdown of well-designed ERM programs due to misunderstood
implementation of instructions by personnel which may be due to judgement mistakes or errors
committed as a result of fatigue, distraction, or carelessness.