Projected Top Business Risks
Businesses need to anticipate and prepare for risks in order to navigate the potential impacts. Broad based risks are identified below however management should perform an assessment of company specific risks. SmBiz Consulting has developed an approach that not only identifies risks but also unlocks opportunities. This approach breaks down the silos between risk management and key performance indicators to create a holistic view of operations.
"By failing to prepare, you are preparing to fail."
By: Benjamin Franklin
Projected Top Business Risks
Economic Conditions
Ability to attract, develop & retain top talent
Cyber Threats
Inflation and the ecoonomy can impact business on two fronts. First isthe impact internally on the business that causes expenses to increase. second is the consumer external side that can adversely impact product/service demand.
The challenge will be managing shifts in labor expectations, succession planning and need to reskill/upskill required to enable incorporation of advanced technology.
Cyber attacks have increased significantly and will continue to do so. The expectation is that inceased technology advances such as artificial intelligence and quantum computing will change how data is secured, this raising security-related questions. Additionally, geopolitical players are intensifying attacks.
Third-Party Risk
Regulatory Changes & Scrutiny
Changes Customer Expectations & Demand
As companies look to reduce costs, the use of third-party suppliers provides an alternative processing approach. This however, does not reduce the responsibility for risks associated with the process. It is crucial to maintain an effective oversight program for each supplier.
Regulatory changes can have significant impacts on operations and product offerings. It is essential to have a monitoring mechanism in place to prevent issues that result in fines and potential customer losses.
This risk is ongoing for businesses. Therefore, it is important to have a monitoring mechanism in place for risks related to this. These include operation performance, inventory, supply chain issues, and product offerings. These are all impacted by customer demand which in turn is influenced by economic conditions and changing customer expectations, needs and trends.