Risk

Are you prepared to deal with the consequences of risk?

Economic uncertainty troubles as many as 80% of US CEOs. Not surprisingly, CEOs have hesitated in the recent past to place big bets on new initiatives. That may be changing gradually; risk concerns caused 39% of US CEOs to change strategy last year, but only 19% say risk is a driver of change this year.

The caution and discipline shown in recent years appears to be paying off – there is a readiness to pursue new opportunities. What about preparedness for disruptive events like the Eurozone crisis and the Japanese earthquake? Some companies are succeeding by focusing more on managing the consequences – e.g., supply chain disruptions – rather than getting bogged down calculating the theoretical probabilities of various scenarios.

 


Featured risk insights

 

First take: SEC’s money market reform

Ten key points from the SEC’s final money market rule

 

First take: Capital Plan rule

The Fed proposes changes to the Capital Plan rule

 

Mortgages: What you don’t know about “Know Before You Owe”

Meeting the challenges of the CFPB's new rule.

 

10Minutes on integrated reporting

Investors have been showing increased interest in the correlations between financial performance and sustainability factors like resource scarcity, environmental performance and corporate governance when assessing a company’s future risk and growth opportunities. Is your company ready to respond? This 10Minutes highlights insights and benefits companies can glean into these issues by integrating their thinking to develop a better understanding of impacts to their businesses, allowing them to tell a more holistic value creation story.

 

Stress testing: A look into the Fed’s black box

Making sense of the results from CCAR 2014.

 

First take: Supplementary leverage ratio

Ten key points about the new supplementary leverage ratio.

 

First take: CCAR stress testing

Ten key points from the Federal Reserve’s 2014 Comprehensive Capital Analysis and Review (CCAR)

 

First take: DFAST stress testing

Stress test first take: Ten key points from the Federal Reserve's 2014 Dodd-Frank Act Stress Test (DFAST)

 

First take: SEC’s cross-border derivatives rule

Ten key points from the SEC’s final cross-border rule

 

10Minutes on revenue recognition

After much deliberation, the FASB and IASB are set to release a final global revenue recognition standard in the coming months that will do away with current industry-specific accounting and instead apply a single set of principles to all revenue transactions. Changes to practices, processes and systems could ripple through your business. 10Minutes on revenue recognition provides information about the standard as well as insight into ways in which some companies are preparing for the broader impact.

 

10Minutes on data privacy

Data protection and privacy is an urgent issue for both consumers and businesses. As customers increasingly worry whether their personal information is secure and used appropriately, companies are also concerned about protecting data and their brand. This 10Minutes highlights the importance of viewing consumer privacy from more than just a compliance lens and developing a strategy and action plan that will help businesses lead on data privacy by building customer trust and enhancing their brand.

 

Stress testing: First at bat for midsized firms

Regulators will scrutinize midsized firms first stress testing submissions this spring.

 

10Minutes on service provider transparency

Businesses depend on service providers to handle confidential data, run essential business processes, and manage critical technology. This can leave businesses vulnerable to service provider breakdowns. The result can be the providers’ clients violating regulations and even losing customer trust. Yet many businesses may know less than they realize about their service providers’ controls. This 10Minutes discusses how SOC 2 and SOC 3 reports can give businesses the picture they need to have solid confidence in their service providers.

 

10Minutes on transforming the tax function

It’s an opportunity hidden in plain sight. In 10Minutes on transforming the tax function, we discuss how the tax function is often overlooked as an area for improvement, unlike more obvious choices such as supply chain or business services. However, shining a light on the tax group can reveal untapped opportunities where changes in technology, process, people, and data can lead to benefits for the broader business.

 

Stress testing: Failures on the horizon?

Regulators released capital stress testing guidance that continues to raise the bar for large firms and signals that more failing grades are likely in the future.

 

Strategic supply chain management

New research shows that high-performing supply chains can achieve sales and revenue growth while managing costs. That sounds like a tall order, but there are things you can do now to manage your supply chain as a strategic asset to boost performance and profitability. This 10Minutes highlights how the supply chain can move your business strategy forward and set you apart from the competition.

 

Stress testing: Midterm results improved, but it's all about the final

Firms release their mid-cycle stress testing results.

 

Stress testing: Getting to credibility - Firms between $10 and $50 billion

Analysis of the banking regulators' guidance on the Dodd Frank Act's stress testing requirements for firms between $10 and $50 billion.

 

10Minutes on whistleblower reform

Whistleblower reform is having significant impact. The SEC’s Office of the Whistleblower has one full year of operation under its belt, and with it 3,001 tips and two awards to date. Leading companies are looking closely at the Office’s first-year report and drawing lessons for building stronger ethics and compliance programs. They’re also considering what it takes to create a highly ethical culture. This 10Minutes highlights the importance of having an ethical culture at the workplace.

 

Top 2013 Insurance Risks: Insurance Banana Skins US responses

What are the most critical economic, financial, and operational risks facing insurance companies in the US? Insurance company executives shared their responses in the 2013 edition of Insurance Banana Skins, conducted by the Centre for the Study of Financial Innovation (CSFI) and sponsored by PwC.

 

10Minutes on conflict minerals

10Minutes on conflict minerals provides insight into the strategic benefits and risks companies will want to focus on as they comply with the SEC's conflict minerals rule. The rule is effective for 2013 calendar year operations, so regardless of whether companies view conflict minerals as a supply chain opportunity, risk to their brand or another regulatory to-do, they should act now to prepare.

 

10Minutes on the stark realities of cybersecurity

This 10Minutes discusses why cybersecurity is more than an IT challenge—it’s a business imperative. New technologies, well-funded and determined adversaries, and interconnected business ecosystems have combined to increase your company’s exposure to cyberattacks. Critical digital assets are being targeted and the potential impact to your business has never been greater. In order to sufficiently protect the business, future cash flows, and shareholder value, your approach to cybersecurity must keep pace.

 

10Minutes on environmental and social risk

Environmental and social issues are posing greater commercial risks than ever. In this 10Minutes we'll explore what's changing and how companies can take a more forward-looking risk approach.

 

Eurozone sovereign debt crisis: Minimizing surprises despite Eurozone uncertainties

How will the effects of the European debt crisis impact US businesses? PwC shares its views on what companies can do to manage the changes that lie ahead.

 

10Minutes on business continuity management

The best disaster survival manual may be obsolete if it doesn’t anticipate major disruptions to the supply chain or at outsourced operations. As a result, business continuity management programs are being designed to continually assess— as well as counter—risks stemming from the interdependencies integral to running a business.

 

Risk in review 2012: Rethinking risk management for new market realities

Companies everywhere are rethinking risk management in the light of new market realities, according to PwC’s 2011 global risk survey, which also breaks down results by region.

 

PwC 2012 State of the Internal Audit Profession Study

PwC’s 8th annual examination of the internal audit profession, focuses on this rising importance of risk management and internal audit's contribution by taking a closer look at how stakeholders and board members view critical risks and the role internal audit could be playing.

 

WSJ CEO Council: Addressing scarcity and growth

For companies able to manage risks, resource scarcity will create opportunities.

 

Combating cybercrime: The general counsel’s role

Cyberattacks aren’t just an information technology matter. Legal obligations, damages to the organization, and business relations with customers all come into play. Often the last to know, it is imperative that general counsel be the first on the cybercrime scene. They can play a pivotal role in protecting an organization if they act promptly when a company’s systems have become compromised.

 

Interview with Niall Ferguson

In this interview, author and commentator Niall Ferguson brings this unique perspective to the major issues of the day—financial, economic, and political. As a student of empire, he also offers his views on why civilizations rise, fall, and, possibly, rise again.

 

Governance, risk and compliance webcast series

You’re invited to join PwC's webcast series which focuses on ways to help your company improve governance, risk and compliance, and achieve the right balance between risk and return.

 

Benchmark your risk profile against your peers