The report concludes, that by the rapidly changing business environment and the world’s increased connectivity means that traditional and emerging risk are becoming more and more unpredictable. Despite big data, companies are less prepared for managing those risks. You might expect otherwise. The report highlights developments as disruptive technology and innovation, cybercrime and political risks and uncertainties. The main conclusions:
- Leaders are challenged with how best to prepare and mitigate the risks. Varying perceptions of risk by different organizational functions demonstrates the need to have a cross-functional approach to risk.
- By 2020, disruptive technologies are predicted to be in the top 10 of global risks. They are emerging and develop in a very fast pace. Leaders need to be in charge to tackle those risks.
PRIMO recognizes the need for a multidisciplinary approach. From dialogues with and between her members it has become very clear that segmentation and segregation (within and between organisations) are key aspects of risk management. The quality of risk leadership is crucial.