Managing Risk in a Volatile Business Environment
23 July 2015
It is becoming increasingly difficult for Boards and Management to cut through the complexities of what constitutes a good risk management approach appropriate to a volatile business environment.
Organisations of all types are operating in a volatile, highly changeable risk environment. In a recent survey of U.S. executives, Deloitte and Forbes Insights found that many are still working hard to make sense of this environment. In fact, a stunning 91% plan to reorganize and reprioritise their approaches to risk management in some form.
[Read the full article here]
The volatility in business risks faced by organisations is not going to reduce any time soon and it is not easily predictable given that the drivers of change are more remote in a global economy. How then, can the Board and Management cut through the complexities to ensure that significant business risks are continually being identified and that there are arrangements in place to manage and report on those risks?
Without oversimplifying the answer, here are some fundamental questions that can provide some focus.
- What can go wrong?
- What can cause it to go wrong?
- What are the consequences if it goes wrong (this is really important information)?
- What is already in place to stop it going wrong and how effective is it?
- What more needs to be done to stop it going wrong?
Increasingly, companies are being required to demonstrate that they have sound risk management processes in place. A holistic and effective approach to the management of all risks a company faces makes good business sense. Austral Risk Services has the expertise to efficiently and cost-effectively assist organisations in managing their business, compliance and reputation risk.
Please contact us if you'd like to arrange a meeting to discuss your risk management requirements.