Managing through the dowturn is the biggest concern, but risk managers shouldn't take their eye off the ball
Uncertainty about the future could be the biggest challenge facing risk managers today.
In an interview with StrategicRISK at AMRAE's 17th annual Les Recontres, Pierre Sonigo, general secretary of FERMA (Federation of Risk Manager Associations), warned: 'No one really knows what is going to happen in the next few months. That makes it very difficult to plan and apply risk management strategies in an environment which is so complex.'
The main threat is customers or suppliers not being able to pay their bills, he said. Many credit insurers have withdrawn cover in the wake of spiralling insolvencies. Even large companies are fighting for survival. Lack of cash to finance operations is another major concern.
“Regulators may not enforce the implementation of new environmental rules because there is so much strain already on companies.
Pierre Sonigo, general secretary of FERMA
Faced with this difficult operating environment many companies could take their eye off other long term or traditional risks, like environmental liabilities, noted Sonigo. 'I think those risks will become secondary in priority for some companies.'
'Regulators may not enforce the implementation of new environmental rules because there is so much strain already on companies,' he added.
'But risk managers should keep an eye on all the risks facing their company,' urged Sonigo.