With the corporate world reeling under economic crisis, majority of executives across the world believe they need to overhaul their approach to risk management to improve business performance, says a study.
According to a study by Accenture, about 85 per cent of corporate executives surveyed think that they need to change their risk management policies if the lessons of the economic crisis are to be used to improve business results.
Accenture's 2009 Global Risk Management study noted that 40 per cent of respondents considers that their companies have already increased or would raise their investments in broader risk management capabilities in the next six months.
The report added, nearly 31 per cent of respondents said their companies are currently considering increasing their future investment in risk management capabilities.
"Executives could improve their organizations' performance and position themselves for economic recovery by linking and balancing risk management and performance management to aid their decision-making and increase shareholder returns.
"Being effective at this also requires companies to integrate their risk management capabilities enterprise wide," Accenture Finance & Performance Management practice Managing Director Dan London said.
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