Governance Risk and Compliance Services

Ever Changing Business Risk

By Troy Snyder, Director

December 2011

Part of Premier Alliance’s 360⁰ Intelligent Delivery is to provide well-rounded thought

leadership-360⁰ thinking, regarding issues facing today’s businesses. Our distinct points of view

provide intuitive insight allowing our clients to reflect on their own business conditions and risk.

As we look toward the New Year, the business climate is continuing to change and risk should be

on every company’s agenda. The ability to adapt to new threats and more importantly

anticipate events that will effect the enterprise is more important than ever now that business

margins are thin.

Here is a look at some potential risks across the whole enterprise that businesses may cross in

the upcoming year and questions to prompt your thinking about your business situation.

Emerging World Markets—will they continue to have more effect on global markets? Consider

the following:

Does your organization have plans to acquire shares in the emerging markets? If so,

what risk does that present?

Do the emerging markets impact your market as these economies continue to grow? If

so, what would be your risk mitigation of market loss?

Managing Talent—Talent is critical for organizations. The workforce is constantly changing.

Please consider:

Are you being affected by baby boomers’ looming retirement within your organization?

Are you able to attract the kind of new talent that will allow your organization to grow

today and in the future?

Are you developing high quality internal training programs for younger employees to

maximize growth and culture integration?

Access to Credit—Is lack of credit stunting growth plans? As the credit market is shifting,

consider the following:

Access to credit is a business risk. Do you have plans in place to address this?

Is the wavering economy impacting your ability to access credit?

Is the cost to obtain credit cutting into potential earnings preventing capital

improvements to stay competitive in the market?

Are credit concerns leading to disruptions within your supply chain that could have a

negative impact on your business?

Regulation and Compliance—This affects all business sectors and industries. Do you

understand changes that may impact your business? Other thoughts are:

Does uncertainty of potential new regulatory action limit growth and expansion and

create conflicting business risk?

Are you staying ahead of the curve and understanding new regulations and their impact

on your business and risk profile?

Can your business model survive with more regulations? Do you understand how to

address these risks?