2011 Global Risk Management Study

Accenture's 2011 Global Risk Management Study indicates that executives are looking more and more to risk management to support long term sustainable growth and to head off critical risks.  There is a better match up of the value chain, corporate governance and the structure of the business organization today than there was even just a few years ago.  Businesses are spending more time and energy planning for risk management and it is being more closely integrated with businesses strategic planning and with a company's growth strategies. 

Companies have to deal with an enormous spectrum when it comes to risks such as crime, reputation, regulation, natural disasters and supply chain operations.  Information systems that are outdated make it difficult for companies to share information and in turn create more risk for a company.  Businesses today should have in place a system that creates awareness of risk and also provides training on how to deal with these risks. 

The majority of companies that responded to the survey felt that managing their risks helped to provide the company with a competitive advantage.  In addition, 83% of the companies felt that their investments in risk management would continue to increase.   

I believe that the world direction towards globalization dramatically increases the need for companies to take risk management seriously.  The global markets have increased customer demand and created enormous industry changes. Developing a strategic plan for risk management and then integrating it into a company's business plan makes sense and leaves a company without such a plan at a competitive disadvantage.