Business activities, operations and strategies come with a number of risks. Identifying risks is a key component of business survival as well as helping achieve business strategy.
We offer a range of risk management services in order to identify, analyse and hedge risk.
Identification of key risks facing your business. This involves the following:
- risk classification
- risk mapping
- Creation of SWOT and Five forces analysis to identify risks in the industry your business operates in as well as the macro environment.
Once the risks facing your business are identified we offer analysis of the risks and identification of key risks facing your business which include risk grading’s based on impact and possibility. This will include the use of sensitivity analysis:
Sensitivity analysis is used to ask the following questions in monetary terms:
- What would happen if demand fell?
- What would happen if our selling price increased or decreased?
- What would happen if our direct costs increased?
These questions will be answered in a sensitivity model spreadsheet so you can visually see the effect the changes above will have on your business.
Hedging is the active and participation of reduction of risk for your business. This involves hedging against interest risk and exchange rate risk.