The survey highlights the perspectives of 1,063 board members and C-suite executives globally concerning the potential impact in 2020 of 30 risks across the following three dimensions:
- Macroeconomic risk: External factors affecting markets—such as financial markets and currency markets—and geopolitical risk, like trade policy;
- Strategic risks: Risks affecting the validity of a company’s strategy for pursuing growth opportunities, like competitor moves and the digitization of products and services; and
- Operational risks: Risks affecting operations of the organization in executing strategy, such as people, processes, and technology.
Respondents were asked to rate each risk area on a 10-point scale. Risks with an average score of six or higher were classified as having a “significant impact” on the organization, whereas risks with an average score of 4.5 through 5.9 were classified as “potential impact” risks. Risks with an average score of 4.49 or lower were classified as having a “less significant impact.”
Mark Beasley, a professor of enterprise risk management at North Carolina State University, said in a recent Webinar discussing the findings companies…
