A new book to help senior executives and boards get smart aboutrisk management
The ability of businesses to survive and thrive often requiresunconventional thinking and calculated risk taking. The key is tomake the right decisions--even under the most risky,uncertain, and turbulent conditions.
In the new book, Surviving and Thriving in Uncertainty: Creatingthe Risk Intelligent Enterprise, authors Rick Funston and SteveWagner suggest that effective risk taking is needed in order toinnovate, stay competitive, and drive value creation.
Based on their combined decades of experience as practitioners,consultants, and advisors to numerous business professionalsthroughout the world, Funston and Wagner discuss the adoption of 10essential and practical skills, which will improve agility,resilience, and realize benefits:
* Challenging basic business assumptions can help identify "BlackSwans" and provide first-mover advantage
* Defining the corporate risk appetite and risk tolerances canhelp reduce
* the risk of ruin.
* Anticipating potential causes of failure can improve chancesof survival and success through improved preparedness.
* Factoring in velocity and momentum can improve speed ofresponse and recovery.
* Verifying sources and the reliability of information canimprove insights for decision making and thus decisionquality.
* Taking a longer-term perspective can aid in identifying thepotential unintended consequences of short-term decisions.