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What is business risk? | McKinsey

A risk management plan involves detecting and controlling potential threats, assessing risk tolerance, and deciding how to approach potential risks. It englobes strategies for obtaining resilient results despite major changes or disruptions in business. To mitigate risk, companies can adopt a risk-based approach, focusing on addressing the worst vulnerabilities, develop cross-functional teams, and use data analytics. Decisions should be guided by actual threats to the company rather than on all potential high-impact, low-likelihood risks.

Source: www.mckinsey.com –

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