Effective risk management involves balancing return on investment, the time value of money, and the likelihood that unanticipated changes in the business environment will impact the outcomes over the forecasted period.
If managers avoid taking risks, shareholder returns may suffer and the company risks obsolescence as external events unfold. Conversely high risk strategies can jeopardise long term sustainability if potential downside risks materialise. Therefore it is crucial for companies to undertake a thorough analysis of the risks associated with new venture opportunities as part of their strategic decision making process.
We can assist managers in proactively managing risk by:
We can also create comprehensive risk management plans that highlight critical uncertainties needing close monitoring. As these risks emerge, they may require adjustments in strategic direction.
For more information about our risk management consulting services, please feel free to contact us for a confidential discussion regarding your specific needs.
"Without risk there is little reward and prospects for the future."
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