In earlier articles, I mentioned about Finance’s role as a business partner to other operating managers in terms of performing financial reviews of your competitors.
In this article, we’ll  review to what degree your Company fares in terms of Competitive Intelligence. The following questions are set to test:

Risk identification
Risk monitoring
Management actions

Checklist - Questions
Yes/No

1
Does your company collect information on […]

When risk management is concerned, we tend to look at insurance, physical security, and etc. as the major component of risk. However, it seems that the Economist Intelligence Unit’s (EIU) latest survey revealed the following:
“ human capital risks such as skills shortage, succession issues and the loss of key personnel were seen by respondents […]

There are many ways of assessing business risks.
Append below is one sample of a formal way of assessing business risk based on the value and weighing and adding together to get the results. The greater the rating, the higher the overall risk of that activity.
(Source:CIMA’s guideline on Internal Control)
INHERENT RISK

Factor
Values
Weight

A
Size of Unit:
In terms of operational […]

Market Risk:
1. In December 1994, Orange County’s Treasurer, Bob Citron, who was entrusted with a USD7.5 billion investment pool, invested a significant amount of money in derivative securities namely “structured notes” and inverse floaters” When interest rates rose, the rates on these derivatives securities declined along with the market value of those notes. This resulted […]

Before we delve further into Risk management, we need to understand why we should be concern with it.

The benefits managing Risk or Risk management are:

Once we have established a sound risk management culture into the organisation’s business framework, it promote productivity in the sense that senior management and line managers can focus more on their […]