Tuesday, February 15, 2005

How to deal with big risks?

According to Denise Caruso in this month's HBR, there is still not much that can be done about true "Acts of God" risks. But when assessing big man-made risks without owners (such as in the case of genetically modified food), companies must involve a broad community that includes experts and all those that might feel the repercussions.

Companies tend to focus on their immediate interests. However big risks affect people and organizations far beyond the risk taker and it's about time companies make sure they are prepared where possible.