‘Risk’ Shouldn’t Be a Four-Letter Word

A few months ago, I sat down with Michael Rasmussen, who told me that risk “should be owned at the highest level at the board of directors and the senior executives of the organization.”

We also discussed how failing to take risks might result in missed opportunities.

Stephen Covey, renowned leadership authority and author of The Seven Habits of Highly Effective People, said, “If there’s one thing that’s certain in business, it’s uncertainty.”

The global pandemic, changes in workplace environments, digital transformation, increased regulations, emerging technology, geo-political unrest, and an overall turbulent business environment has led to organisations having to revise and adapt their strategies and operating models at a rapid pace.

Digital transformation is now not so much a competitive advantage as a business necessity. But rapid digital transformation can also bring significant risk-management challenges.

To successfully manage the risk in digital transformation, organisations need an integrated approach to governance, risk, and compliance (GRC).

Successful digital transformation programmes must get boardroom buy-in. All directors must, therefore, have a minimum level of competency, understanding and knowledge — and the board must have a shared appetite for risk in all its guises.

Of course, risk involves uncertainty. But uncertainty is not ignorance. Every business decision has an element of risk — but as Thomas Jefferson once famously stated, “With great risk comes great reward.”

The board, C-suite, legal, finance, IT all have a leading role in understanding and managing risk, breaking down silos and getting people to collaborate.

The strapline for #RISK is “Risk is now everyone’s business”. Attendees will have access to the latest information and advice to ensure their organisations are equipped with the right tools, culture and oversight to understand, anticipate, mitigate and respond proactively to risk in an ever-changing world.