CEO’s shift from ‘risk management’ ‘resiliency management | PwC
The PwC report summarises the CEO survey of what keeps them most worried and goes on to deal with how company’s are dealing with the potential for multiple future hazards. Cyber attack and health epidemic now feature highly (and about time) amongst CEO top concerns.
The broad theme of the report is that determining the future specific risks and making bets on the most likely is a mugs game. The better approach is to build for resiliency and moving away from recent traditional approach of risk management.
In conclusion, trust is the prerequisite for everything CEOs hope to achieve as they move from risk management to resilience. Businesses’ efforts to target the right opportunities, increase customer demand and loyalty and improve operational effectiveness are only as effective as their ability to build trustworthy relationships with all their stakeholders.
Resiliency is defined by PwC as
This combines an ability to ride out the immediate impact of shocks with a long-term capacity to adapt to constantly changing conditions.