A business can identify the risks and opportunities created by these undercurrents by first identifying the top ten economic, technological, and social undercurrents that could impact the business. These could include trends like changing demographics, the rise of Asia, and the impact of emerging technologies. For each of these, the business should list the high impact changes in politics, markets, and consumer behavior they could cause. After listing these significant undercurrents, the business should identify the risks and opportunities they could create. Risks can be modeled using the FOES Framework: Financial Risk, Operational Risk, External Risk, and Systemic Risk. The business should also train its junior staff to keep a lookout for the right issues and install organizational mechanisms to ensure warnings are heeded.
How do you prepare your business for black swan events like pandemics or financial crises? Rogue Wav...
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