Search
 

Strategic Risk in Motion

Deloitte survey indicates that companies are reshaping their approach to managing strategic risks, and that responsibility for those risks varies widely by geographic region.

By Treasury & Risk Staff | Updated on October 11, 2013

In a recent survey, Deloitte and Forbes Research evaluated the strategic risk management practices of more than 300 large global businesses. The vast majority of survey respondents (81 percent) said their company explicitly manages strategic risks, which Deloitte defines as risks that affect, or are created by, an organization’s business strategy and strategic objectives. And almost all (94 percent) said they’ve changed the way they approach strategic risk management over the past three years.

Anecdotally, the report quotes Dr. Georg Klein, chief risk and internal control officer, corporate finance and controlling, for Siemens AG, as saying: “In former times, we were very much focused on quantifiable risks and had the tendency to quantify risks in order to report them as part of our enterprise risk management. However, we found that some of the most relevant risks might only have a financial implication after a couple of years, or it might even be quite hard to have a sensible estimate on the financial impact of these risks. So we decided to consciously expand from a pure quantification approach of risks to a more qualitative approach that allows integration of soft data for issues such as regulation, media, or reputation. This provides a more comprehensive picture of the challenges that are in front of the company.”

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.

Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

Treasury & Risk

Join Treasury & Risk

Don’t miss crucial treasury and finance news along with in-depth analysis and insights you need to make informed treasury decisions. Join Treasury & Risk now!

  • Free unlimited access to Treasury & Risk including case studies with corporate innovators, informative newsletters, educational webcasts, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM publications including PropertyCasualty360.com and Law.com.

Already have an account? Sign In Now
Join Treasury & Risk

Copyright © 2024 ALM Global, LLC. All Rights Reserved.