The issue of corporate risk and reputation for the C-suite is among the most pressing concerns for many multinational companies. After all, the impact of an issue or event to the organization — depending on the type of incident — could mean large regulatory fines, reputational damage linked to the loss of clients, damage to company share price, disruption or closure to business, and in some cases, criminal charges of negligence against executives and/or the organization.
The Enron scandal is a worst-case example of what can happen to a company if risk management is not prioritized within organizations which, in 2001, resulted in the bankruptcy of the company with more than $63.4 billion in assets, along with damage to shareholders and board members.
