Global 10 Risks Facing Businesses

Ernst and Young recently released its Business Risk Report 2010 based on interviewed with a panel of more than 70 industry executives and analysts from 14 sectors.

If you look at the snapshot of the top 10 global risk across the 14 industries they cover below, you’ll see how a number of risk listed is associated with the sustainability factors of your business.

For example, in the business of green, there are regulations and compliance apply to business of any size. Literally, there are dozens of environmental regulations apply to small businesses, from environmental permits, air quality regulations, cleanup, ecosystem protection, fish and wildlife regulations, and more.

Eventhough, radical greening risk dropped from number 4 in 2009 to 8th in 2010, environmental regulation, consumer trends and strategic responses – remains a long term issue.

The snapshot below is what they called ‘risk radar.’ These are the drivers that might affect how you do business and at the same time, how it can help you position into the future. Compliance is associated with politics, law and regulations. Financial is the kind of risk associated with the economy and market ups and downs. Strategic is associated with customers, competitors and investors. Operational risk affects the processes, systems, people and those in the value chain.

Global 10 business risks:


– click on the image for larger view

The table below shows on the relative importance the top 10 business risks across the 14 sectors they studied.


For more details, you can download the ‘Business Risk Report 2010’ here.

images: EY


Author: Dewita

Co-founder Ecotwist Labs.

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