Wherever in the world your business operates you need to understand the political, security and business environment.
Senior managers and business developers need to know how different legal and regulatory environments, political rivalries and potential instability will affect the business. And on a local level you have to consider the effects your operations may have on specific communities. All of this takes place within a global context of legislation, regulation and local and international pressure groups, where corporate governance and reputation is of paramount importance.
Understanding, monitoring and preparing for these risks can provide a real competitive edge. Conducting a detailed and focused risk assessment for new investments can mean the difference between success and failure. In many instances political, business and cultural risks only become apparent once you have already committed significant financial resources to a project, but identifying the potential impact of these issues from the outset helps you to manage them correctly. Conducting risk assessments of ongoing projects and supply chains can help to identify existing problems and vulnerabilities.
Control Risks can help in the following areas: