A Practical Guide to Business Risk
The Institute of Directors (IoD) has launched a new Director’s Guide, offering practical advice and insight for company top brass as how to assess and manage business risk.
Based upon findings in the report Roads to Ruin, a study of major risk events, by Cass Business School, the key lesson to take away is that business risks should be identified and managed by the company directors. A competent board, the report argues, is then able to manage difficulties before they get out of control.
Product liability and employer’s liability are common concerns for all SMEs but different sized businesses apparently face different risks; Smaller businesses are particularly vulnerable to cashflow and credit risk with fraud, crime and vandalism becoming more recent issues to watch out for.
The larger mid-sized enterprises are also finding the current economic environment as a more uncertain place than it once was with global market volatility and business interruption becoming recent apparent risks, alongside other concerns.
The guide, Business Risk: A practical guide for board members, is aimed at giving non-executive directors and senior executives a better understanding of risk management and it shows how to avoid the mistakes of past corporate failures.
The in-depth guide, running at 84 pages, might not be appropriate for the smallest businesses or the self-employed, but it does give a valuable insight into the world of risk management at the board level. For larger small businesses and mid-sized companies, the business strategies discussed and explored are an invaluable resource for enterprising firms.
The IoD guide, published in partnership with Airmic, Chartis, PwC and Willis, is available as a free PDF or as a print copy which costs £9.95 (excluding postage and packaging) from the IoD membership team on 020 7766 8866 or email firstname.lastname@example.org