Among all the after effects of the pandemic, the risks associated with businesses have also seen an upscale owing to the changing market trends. It has thus, without a doubt become a pertinent thing for management within the scope of a business. The risks seem to have become more complex with time owing to digital technology. This is where the expertise of veterans in this trade of risk management such as Michael Saltzstein come in to be very helpful.
Owing to the massive shift of the business running from the office premises to the residential areas, in the form of work from home alternative, the associated risks for every company too have altered massively. It is thus needless to say, the approach of the risk managers in this regard too had to go through alterations in determining the possible strategies that would help the business to stay afloat amidst such corporate turbulence.
The companies were just settling down with this trend when the wave of returning back to the office space turned everything around and everything linked with the business as well. The risk managers such as Michael Saltzstein were now expected to design novel plans that would cater to the changing trends of the market and the risks that it tagged along with it.
With this constantly changing varieties of risks, company owners are also constantly trying to get a fresh look at the risk management systems. The expectations from risk managers at a time like this is at its highest point where the business owners are harping on the experts to not merely eliminate the probable risks but also to turn around a few of them that would add value to the company.
Non-financial businesses too need to face risks, but they are qualitative in nature and that is what makes their management tougher. People such as Michael Saltzstein who have experience of several years in this field opine that traditional risk management is not as good as enterprise risk management. Both methods include the elimination and reduction of risks while including insurance as a remedy and following government protocols. The only point of difference between the two is the traditional one does not recognize risks as an integral part of business and treat it accordingly.
Enterprise risk management, contrarily understands that risks are an inextricable part of a business and that is why they treat it in a manner that will be able to derive benefits out of the otherwise negatively understood risks. An ERM team is set with a few members who identify the risks, implement the risk control measures after consultation with the higher authorities, and also monitor the efficiency of the measures taken. Records of this are maintained for future use.
Despite not owning the title of the chief risk officer, enterprise risk management experts are known to come from consulting backgrounds and that is what gives them the expertise of handling such risks and mitigating them whenever there is a need.