Risk management – if executed properly – can be an essential management tool in driving innovation and value creation.
A sound risk management plan is critical to ensuring compliance with governance and disclosure requirements. It is also necessary to identify and plan for unforeseen events that can cause disruptions in even the most resilient operations. This study clearly shows a disconnect between enterprise risk management and sustainability practices in most of the businesses studied. It provides a critical starting point to help businesses navigate and prioritize sustainability risks.