Does your strategic planning factor in risk?
No matter in which industry your business operates, risk is something it has to battle on a daily basis.
Manufacturing companies are subject to the whims of global prices and export trends, as are those in the mining and resources sector. Financial service providers are constantly having to adapt to changing regulations and compliance standards.
Natural disasters, such as those witnessed in Australia earlier this year, can affect just about any business.
That is why strategic planning and risk management simply need to go hand-in-hand. Successfully negotiating a risk so it doesn’t irrevocably impact your business requires careful analysis, planning and decision-making.
And which function of your business covers these three crucial processes? Strategic planning.
Using cloud-based strategy software is the best way to ensure your organization can work on its strategy in real time and instantly factor in any impending risks and threats. StrategyBlocks, for instance, presents users with a color-coded risk profile to highlight where the most pressing risks may be coming from.
Individual risks are judged based on their likelihood of occurring and the potential impact they can bring. Risks are displayed in a matrix so you get a visual representation of your organization’s current risks.
Should any individual risk area verge on the level of crisis, the software will immediately aware users and draw attention to the danger posed. Those setting the strategy can then take preemptive action before the risk hits and it’s too late for a remedial response.
Risks can attack from all angles and if not strategically managed and dealt with, have the potential to derail your business. Make sure you take advantage of the latest business management software to keep risks at bay.