Risk management is the science of predicting sources of liability, then taking steps to prevent them from occurring or minimizing their impacts when they do occur. While it is is not possible to think of every possible scenario, businesses can start with the following three emerging risk management challenges.
Once an optional add-on to traditional liability policies, cyber liability has become an increasingly mainstream investment. As the likelihood of falling prey to ransomware attackers steadily increases, businesses must be proactive in their approach to protecting data.
Volatile Economic Situations
Businesses in the United States have lately experienced the market crashes and economic roller coasters they once considered themselves immune to. Because of these rapidly changing financial conditions, a risk management plan must include worst-case scenarios regarding the economy.
Acts of Terrorism
Terrorism is any act of violence committed with the intent to further an ideology. Unfortunately, many companies have been impacted by incidents that fit this description. Therefore, all businesses should consider including the possibility of violence in their risk management plans.
These three risks are just the tip of the iceberg when it comes to risk management challenges However, by starting with them, a company can begin to implement more strategies to keep itself afloat against the tide of potentialities.