Running head: BP OIL SPILL AND RISK MANAGEMENT Bush 1
BP Oil Spill and Risk Management
Tiffany Bush
Alvernia University
Running head: BP OIL SPILL AND RISK MANAGEMENT Bush 2
When you think of a forensic accountant (FA) what comes to mind? For most people
fraud would be the most common answer. However, FA’s take on a multitude of roles that may
be shocking! One role they play a critical part in is enterprise risk management (ERM). ERM is
the process of planning, organizing, implementing, and controlling the activities of an
organization in order to mitigate the effects of risk while protecting their capital and earnings.
Organizations who do not have a risk management plan in place often fail. For example, the BP
oil spill that occurred in April of 2010 is a classic example of where risks were overlooked and it
created a catastrophic event.
The BP oil spill went down in history as one of the biggest oil leaks to happen and also
resulted in the death of 11 people, not to include those who were injured. The deep-water horizon
(drilling rig) was destroyed along with other equipment which were important assets to the
