Fear of terrorism doubles amongst global risk managers but only 16% are prepared
Over the past year, the fear of terrorism amongst global risk managers has doubled with 22% citing it as a threat. The jump reflects that managers within the multinational corporations and humanitarian aid organisations surveyed for the Clements Worldwide Risk Index see terrorism as a risk that needs to be increasingly contained in key areas of operations – not just war zones.
Even though surveyed managers perceive heightened risks associated with terrorism, only 16% say they are as prepared as they could be to address them. On the contrary, for political and labour unrest, the percentage of risk managers feeling “most prepared” increased from 12% in the Summer 2015 Index to 20% in the latest index, highlighting that action can be taken to protect staff and assets.
Cyber-attacks, and the subsequent liability that follows, was ranked as the top concern by 27% of respondents and the source of highest losses by 22%. Almost one third (31%) of the global risk managers surveyed said they had experienced a cyber-attack of some kind within the last 12 months.
Chris Beck, President of Clements Worldwide, said: “The last decade has seen a dramatic increase in instability and even violence. These risks impact individual safety, operational and investment planning and organisational liability. Ever increasing unpredictability is the new normal for which organisations need to be prepared.
“Business as usual is a thing of the past. Concerns outlined in the Clements Worldwide Risk Index unfortunately reflect the uncertain environment in which all organisations increasingly operate. The good news is this world of heightened risk can be mitigated with proper planning and appropriate investment in sound strategies and the right products.”
This risk index provides an overview of how risk managers in a variety of industries – including global humanitarian aid, oil and gas and logistics – perceive current threats, and acts as a barometer for others in those industries by which to judge their own concerns.
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