One aspect of doing business in the 21st century is that companies are under increasing pressure to balance profit with its social impact. This new risk reality demands new approaches to management.
Environment, ethics and social responsibility is high on the news agenda around the world – mistakes or failures to comply with what is seen as responsible corporate behaviour will influence reputation and stock price.
At the same time there are increased demands for transparency from stakeholders. Stricter regulations have led to companies and their senior management becoming more accountable for errors and mistakes. There is little or no tolerance for mistakes and failure to manage risk. This new risk reality demands new approaches to management.
Failure to comply with the new risk reality may cause:
Damage to reputation or brand
Shrinking profitability or loss
Customer “exodus”
Claims/litigations
Low morale of employees
Poor media publicity
DNV’s core competency is to identify, assess and manage risk. This competency can be applied to many industries and sectors. With our global cross industry experience and worldwide presence, we use our extensive knowledge of risk management to design customised and case based solutions. We believe that the successful management of risk is dependent on a key principle; the application of robust systems by competent people.
A company that complies with the new risk reality can expect improvements in several important areas:
Improved reputation
Profitable growth
A loyal customer base
Loyal employees
Solid integration into local community and local economy