Business Event Risk

Risk Management specialists identify, measure and assess the likelihood of certain events happening (everything from the everyday to the unthinkable), their potential impact should they happen – and devise ways to manage them. If it makes sense to manage actively such business risks - demand fluctuations, new product launches, brand valuations, asset prices, residual assets and liabilities, patent risks, political and weather risks, and so on - where should the "risk management" stop and plain old management start? Our second Expert Witness says that an analogy with how the reinsurance industry thinks through the sharing of risks might help sort out this conceptual tangle.