Risk is not a four-letter word

Yes, every organisation faces market volatility, technological acceleration, regulatory evolution, operational vulnerabilities, and, indeed, many external factors beyond their direct control. But even the most challenging situations offer opportunities.

Novelist, biographer and critic Margaret Drabble said

“When nothing is sure, everything is possible.”

Risk is defined by the ISO as the “effect of uncertainty on objectives” and in today’s complex, volatile, and fast paced world, uncertainty is everywhere.

At #RISK we get the opportunity to talk to global risk professionals on an almost daily basis and the common themes are readiness, response and resilience.

When British Prime Minister Harold Macmillan was asked what the greatest challenge for a statesman was, he replied:

‘Events, dear boy, events.”.

It’s a phrase that has come to signify the effect of unanticipated events on organisational plans.

Almost all businesses will face a crisis at one time or another, it’s how they deal with it that counts. And the cultivation of a risk-aware culture that empowers employees to identify and mitigate emerging threats, make informed decisions, maintain business continuity and seize new opportunities will be a key differentiator and will drive long-term success.

Taking risks enables growth, spurs creativity and opens new opportunities.
Taking risks can lead to remarkable breakthroughs and innovations.

At his trial Sam Bankman-Fried admitted that he made no effort to manage risk at his crypto trading platform FTX and when asked, “Did you have a risk management team at FTX?” he answered, “We sure should have. But no, we didn’t,”.

He has also said that if he’d spent ‘an hour a day’ thinking about risk management FTX might not have collapsed. Sam Bankman-Fried is currently serving a 25-year prison sentence

The #RISK series of events addresses risk management in all its guises and focuses specifically on, readiness, response and resilience.