Your kids are not taught risk management at school, you have to do it

I wanted to start with some typical math problems in school: Two cars started from the same point, at 5 am, travelling in opposite directions at 40 and 50 mph respectively. At what time will they be 450 miles apart? At 9 am a car (A) began a journey from a point, travelling at 40 mph. At… Continue reading Your kids are not taught risk management at school, you have to do it

Why risk community rejects science, logic and common sense

First, I wanted to share an extract from the book I am reading at the moment Alchemy: The Dark Art and Curious Science of Creating Magic in Brands, Business, and Life The chapter is called “I Know It Works in Practice, but Does It Work in Theory? On John Harrison, Semmelweis and the Electronic Cigarette”… Continue reading Why risk community rejects science, logic and common sense

3 steps to apply Monte-Carlo simulations to any investment project decision

Risk management 2 shouldn’t be difficult. So I started on a quest to come up with a simple methodology for quantitative risk analysis that will actually improve decision making. This is still work in progress, so any comments and suggestions please send them to me or write below the article. Also don’t forget, RAW2020 is… Continue reading 3 steps to apply Monte-Carlo simulations to any investment project decision

5 reasons why internal auditors need to attend #RAW2020

Risk Management Awareness Week from 12 to 16 October 2020 is a perfect place for internal auditors to learn. Risk Awareness Week RAW2020 brings some of the leading risk management researchers and practitioners to your computer or mobile phone. It is designed to raise awareness about risk management application in planning, forecasting, budgeting, construction, investments… Continue reading 5 reasons why internal auditors need to attend #RAW2020

Share your risk management story and win a free VIP pass to #RAW2020

Share your risk management story in the comments below and get a chance to win a free VIP pass to #RAW2020 (valued at $100): https://2020.riskawarenessweek.com/ RAW2020 is dedicated to sharing and raising awareness. Help new risk managers, share your story. Tell us: how did you get into risk management? what are the 3 things you… Continue reading Share your risk management story and win a free VIP pass to #RAW2020

Impact of Covid-19 pandemic outbreak on Top Risks – Joachim Schulte

https://2020.riskawarenessweek.com/talks/impact-of-covid-19-outbreak-on-top-risks/ This talk shows what has been done to assess the impact of Covid-19 pandemic outbreak on the most important risks of the company (Top Risks). The idea was that risk management should help the company to make difficult decisions during a crisis. The approach is based on quantitative risk management, in particular Monte-Carlo simulation,… Continue reading Impact of Covid-19 pandemic outbreak on Top Risks – Joachim Schulte

Agricultural Risk Analysis: art and science – Ariadna Berger

https://2020.riskawarenessweek.com/talks/agricultural-risk-analysis-art-and-science/ In Argentina we have been applying risk assessment and management concepts in farming for more than twenty years. Price and yield risk can be managed through diversification. Agricultural portfolios can be created by mixing different crops and/or different climate zones, soils and cultivation practices. We also apply risk management to reduce price risk through… Continue reading Agricultural Risk Analysis: art and science – Ariadna Berger

Escalation: The Forgotten Risk – John Hollmann

https://2020.riskawarenessweek.com/talks/escalation-the-forgotten-risk/ Every project cost estimate includes some allowance for price escalation in its midst. However, few recognize escalation for the potentially devastating risk that it can be. For example, from 2005 to 2008 the price to get a process plant built increased by 50% at a time of negligible inflation. Economic cycles like these are… Continue reading Escalation: The Forgotten Risk – John Hollmann

The better alternative to “inherent” and “residual” risk concepts

Few things are certain in life: death, taxes and someone in the risk community asking about inherent and residual risks. In fact the question is so frequent that I even did a short video response: To most organisations inherent vs residual comparison is a way to measure potential risk mitigation effectiveness and the reduction in… Continue reading The better alternative to “inherent” and “residual” risk concepts

5 red flags 🚩when just starting to implement risk management

Ok, the title is obviously irony, because no organisation on the planet is ever “just” starting to implement risk management” or “starting from scratch”. Organisations have been making risk-based decisions since the inception. Often poorly, but that’s another point altogether. And yet, far too many job advertisements I see are looking risk specialists to build… Continue reading 5 red flags 🚩when just starting to implement risk management