Economic Uncertainty & Lack of Innovation Top Risks: Survey
In a 2011 Global Risk Management Survey, nearly 1,000 business leaders from 58 countries shared the top threats their businesses are facing.
Coming in at number one: economic risk, with two-thirds of respondents reporting a loss of income in the last 12 months. But innovation and the ability to meet customers’ needs made AON’s top 10 list of global risk for the first time this year, underscoring growing concern about the loss of market share to more forward-looking competitors.
Failure to innovate or meet customer needs made the top 10 list of global risks for the first time this year, ranking sixth on the list. This reflects growing concern about the risk of losing market share to more forward-looking competitors. Technology failure also earned its first top 10 spot, ranking ninth on the list.
In terms of organizations’ “readiness” to address the innovation challenge, responses varied by industry. For example, 88% of technology companies, 87% of non-aviation transportation manufacturers, 64% of machinery and equipment manufacturers and just 57% of consumer goods manufacturers felt they were ready to address the failure to innovate and to meet customers’ needs.
Across industries, the top 10 risks were as follows:
Is your organization ready to meet the innovation challenge ahead? How well do you know your technology, market and competitive landscapes?
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