How Rapid Change Affects Risk Management in Business

Today’s business world is evolving faster than ever before. With increases in technology and the ability of the internet to bring people from all over the world closer and closer together, today’s businesses have been forced to not only adapt, but also become more efficient, receptive, and innovative than has ever been called for. Business on the internet has certainly posed a lot of new legal questions that remain unanswered, and security threats as well as other risks for both consumers and business are a constant force.

While many different forms of business insurance exist to protect against various forms of risk, advance of technology and the rapid evolution of business today leaves behind some unanswered questions about the risks posed by new forms of business online and on the global level. Pure risk in business was often much simpler: you protected yourself against fire, accident, or theft. However, with more and more business being conducted on the internet today and transactions being done electronically, new threats have emerged that concern security, theft of data and financial information as well as personal information of customers and employees. Also, with more business being conducted on the global level, fluctuations in currency and the losses associated with it are often difficult to calculate.
Terrorism is also an increasing concern for today’s businesses, and some are unsure of whether loss associated with these kinds of acts should be insured against. In addition, increased scientific research and awareness of environmental devastation has some wondering how global warming might pose a risk to some businesses in the future. Recent epidemics such as bird flu and swine flu have also prompted debate on the risk that a worldwide epidemic would pose to businesses as well. War and social unrest in other countries is also a concern that can affect businesses that are now operating on a global level.
As society evolves and advances, new risks continue to enter the picture which can affect businesses and individuals at any level. With today’s technology, business and society are evolving at a rate that has been unmatched in centuries before, meaning that new risks enter the picture more rapidly as well and more and more questions are raised for businesses, business leaders, individuals, and insurance companies that provide protection from loss for these types of organizations. While some remain skeptical and feel that it is unlikely that businesses or individuals will ever really need protection from loss against such things as terrorism or worldwide epidemics, more recent events continue to remind us that anything is possible, and the most efficient businesses of today need to be those that are prepared for just about anything.

Education and appreciation of the employee in the work place can be as simple as providing good positive feedback, and strong and direct communication. Keep in mind the position of your employee, and the goals you have in mind for their personal growth within the company and you’ll go far. Moral will grow, and producitivity will increase. Your employees (and yourself) will enjoy working together and you’ll find the days go past with almost no effort.
Enjoy your new working lifestyle as you grow your relationships, and improve the working environment.