The outcomes-based approach of King IVTM is a timely invitation for corporate South Africa to get better at managing risk in a world that is getting more risky by the day, says Michael Davies, CEO of ContinuitySA. Davies argues that King IVTM is directing organisations to see risk holistically, and ultimately to build resilience.
"Principle 11 of King IVTM speaks to governing risk in a way that helps an organisation to set and achieve its strategic objectives. This is a call to change the way organisations see risk, with many implications. To my mind, one of the most critical mind-set changes will be to move from a focus on identifying risks – though that remains important – to building resilience," Davies says.
At the end of every year, the ContinuitySA team attempts to identify what will define the risk landscape for the coming year. Meeting in November 2016, the team agreed that the main point to make was that risk and its effects were becoming increasingly unpredictable. Factors driving this unpredictability include unprecedented geo-political uncertainty coupled with an increasingly integrated world, in which the interconnectedness of digital markets and supply chains is now mirrored by large-scale human migrations that effectively globalise risk.[Full Story.]