A revealing risk management report surveying nearly 500 CFOs in the US was recently issued by the American Institute of CPAs and North Carolina State University.
48% - Mostly or extensively concerned about company’s ability to manage leadership and talent needs
42% - Impact of the economy
40% - Innovations disrupting their business model
34% - Shifts in consumer and social demographics
30% - Social media harming the organization’s reputation and brand
59% agreed that the volume and complexity of corporate risks have changed extensively over the last five years, and that most did not have a complete enterprise risk management process in place.
The overall key findings were:
There is a growing demand for Chief Risk Officers (CROs)
Management wants a greater focus on risk
There is a disconnect between risk and strategy
Barriers cited included beliefs that there were
Competing priorities
Insufficient resources, and
Risk was monitored in other ways besides for ERM
Mining companies continue having a number of social risks that over decades have formed much like sedimentary rock. And just like metamorphism, they too will undergo change brought about not by extreme physical heat and pressure, but by social stresses that continue to expand. Educating and updating the public requires a proactive approach. While standard programs may still be applied, today’s environment demands more creative and contemporary methods and means – from thought leadership to advertorials to influencers and maximizing multiple platforms. Continuing to respond to the latest barrier before us will eventually result in an industry pushed beyond our borders.