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Posts uit mei, 2017 weergeven

Risk Blindness & Risk Management

Risk Blindness – a Roadblock to Sustainability
Introduction
If you want senior management to pay attention give them something that challenges their focus - and understand that their focus is on the growth and sustainability of their business; not necessarily on compliance issues.  It is on business survivability – will we be in business tomorrow given the issues that we face today?  What is more important to your organization’s compliance with the myriad of regulations faced or where your competition will be coming from in the next five years?
Some definitions will help to form the basis for why we face a roadblock to sustainability and the potential crisis that leadership faces:
Risk Blindness: Looking at the parts not the whole, resulting in less precise measurement of risks.  This includes not recognizing risk, discounting risk and the influence of bias that precludes acknowledging risk.
Situational Compliance: Complying with regulatory standards, but not addressing the impact of risk…