The aim of Risk Management (RM) is to bridge the gap between academia and industry (practice) by quantitatively addressing risk management issues of high relevance and importance to industry (practitioners), with academic rigor. The journal's target audience are practitioners, regulators, academics, as well as those predominantly interested in the quantitative perspective on the most recent issues, advances and practices in the field of risk management Each year, risk management gains more importance in the eyes of executives and employees across organizations. 2019 will be no different. As the year progresses, expect the true value of risk management to be realized and for it to become a greater priority for many boards. Along with this growth, there will be new trends that increase in importance over last year. With this in mind, here are the top 8 risk trends for 2019. Keep an eye on them and their mitigation strategies to ensure continued success.
At the end of March, Britain will be leaving the European Union. Since the vote to leave two years ago, there has been endless debate on the terms of their exit and the impact it will have on the economic well-being of the UK, the EU, and individuals. 2019 also began with a continued government shut-down in the United States, resulting in hundreds of thousands not working or working without pay.
These types of political situations can be unpredictable and have an impact on organizations of all sizes. In this seemingly unstable environment, risk managers must ensure they have a strong understanding of how politics may affect them and what they can do to minimize the consequences. For example, any company that does business with the UK or the EU should conduct an analysis on how it could potentially impact their operations in those countries and prepare themselves accordingly.
umans have found ways to eliminate redundant tasks and streamline processes through AI and automation. While these bring tremendous benefits to all industries, including insurance and risk management, it’s important to consider the risks as well. Organizations must ensure they are using AI for the right reasons (i.e., that it actually brings value and serves a purpose) and are installing systems that are fully secure.
Another risk to consider in this area is the risk of being left behind. As more companies offer AI and automation-based services, customers may come to expect a certain level of service and benefits. An organization that has not taken advantage of the benefits of these changes may find themselves losing customers to more advanced competitors.