The risk management approaches used by many organizations haven’t effectively mitigated crucial risks. BP made safety a top priority, only to be involved in one of the worst man-made disasters in history. And several financial firms had risk management activities that didn’t prevent them from experiencing disastrous results in the 2007/08 financial crisis.
In their June 2012 article in the Harvard Business Review, Harvard Business School professors Robert S. Kaplan and Anette Mikes described many of the problems with typical risk management approaches and offer a systematic approach to improve the effectiveness of risk management.
In this interactive Harvard Business Review webinar, Kaplan and Mikes will discuss the key ideas in that article. They will explain the importance of:
- Understanding the common errors organizations make in attempting to manage risks, including overconfidence, group-think, and escalation of commitment.
- Categorizing risks as controllable (which should be eliminated or avoided), external (which can be anticipated and planned for), and related to generating superior returns (which can be managed through tailored approaches).
- Choosing the right approach to discuss risk within an organization.
- Avoiding the function trap, linking risk management with strategy, and identifying and managing risks on an organization-wide basis.
Previously Professor Kaplan co-created the Balanced Scorecard, the widely used management system. In this article, he and Professor Mikes co-create a system that will help organizations dramatically improve management of risks.
If your organization faces potential risks that could kill the company, and if you have responsibility for managing this risk, join Professors Kaplan and Mikes on June 6 to gain important insights that will change how your organization thinks about risk. A one-hour investment will benefit your organization for years to come.
Wednesday, June 6, 2012
12:00 p.m. – 1:00 p.m. EST