The corporate risk landscape has shifted significantly in recent years. Larger and more varied risks than previously anticipated have been experienced in companies and countries who had believed they were immune from such risks. In this complex environment, organisations must integrate into their management decisions the social and political risks of political instability, political corruption, business corruption, child labour practices, anti-corporate sentiment, terrorism, environmental pollution, and other concerns.
For example, societal perceptions of the connections between an organisation and particular social and political risks can cause enormous costs to organisations, regardless of the organisation’s direct involvement in the issue. Whether society is reacting to a real or perceived risk, it may take action, including consumer boycotts, leading to loss of sales or increased regulation that negatively affects an organisation. Thus, managing these types of risks is critical.
Beyond Facts and Figures: Integrating Social and Political Risk into Management Decision Making provides the tools, techniques, and specificity you need to effectively integrate social and political risks into your decision making processes. You can apply the practical calculations contained in this book to day-to-day operational decisions, capital investment planning, and other critical management decisions.