Aon has recently published the findings of its 2009 Global Risk Management Survey. The biennial analysis is based on responses from 551 organizations in 40 countries. The findings are representative of a broad range of industry sectors around the globe.

The top ten risks identified were:

1. Economic slowdown
2. Regulatory/legislative changes
3. Business interruption
4. Increasing competition
5. Commodity price risk
6. Damage to reputation
7. Cash flow/liquidity risk
8. Distribution or supply chain failure
9. Third party liability
10. Failure to attract or retain top talent

The 2009 Aon survey indicates that virtually no company, industry or country is immune to today's unprecedented period of economic unrest. While reputation risk has fallen from its top position in the firm's 2007 survey, the importance of this threat is not diminished.

Reputation risks impact the public's perception of the quality, integrity and intention of an organization, influence a partner or customer's decision to do business with a firm and may affect a government or regulator's decision to allow a company's actions.

Regulations and legislation are now perceived as the second greatest risk factors facing business, according to the Aon survey. While it remains unclear as to whether more stringent regulations are expected to expand to the majority of industry sectors, an increase in regulation within the financial sector is widely anticipated. For multinational organizations, the cost, quantity and complexity of regulations presents serious compliance challenges.

A key challenge for all organization's is clearly adapting to a rapidly changing regulatory environment. A GRC solution that can adapt quickly is key to success. This is one of Xactium's key strengths - the ability to rapidly adapt GRC solutions to reflect the changing business, rather than being tied to fixed solutions.

Comments