Despite a diminishing level of confidence in the domestic UK economy, business leaders are bullish about continuing to deliver with 51% prioritising topline growth, according to our Autumn 2017 Risk and Confidence survey.
The current focus for business development and growth is focusing on international expansion, as well as investing in both talent and technology. Business leaders are confident that foreign markets will develop their growth and that having the right tech and talent in place will keep them nimble and competitive.
Whilst this focus is a positive one, it appears that some of the supposedly more mundane risks are dropping down business’ agenda. Boardroom risks – corporate, compliance and supply chain – have decreased to the point of almost disappearing off the risk radar since our Spring 2017 report. 55% predicted boardroom risk would be their main concern in Autumn 2017 and only 22% are now stating it as their main concern. This is a surprising change considering stricter regulation such as GDPR is coming into play and after a string of successful prosecutions by the FCA.
Whilst becoming more global can increase topline growth it also means operations will inevitably become more complex. Increased exposures will come in the form of multiple regulatory regimes, different business practices, new business partners and a broader and more complex supply chain network.
Our research suggests that this decrease in concern over boardroom risks is not because they are diminishing but from a lack of awareness of their complexities and the threat they pose to multinational businesses.
The purpose of our research is to better understand insureds’ needs and our hope is it will facilitate better dialogue around their potential risks, help our clients improve their management of these risks and support their growth ambitions at home and internationally. The risk environment is changing, but with proper understanding and management of these risks there is no reason businesses should not continue to deliver topline growth.
David Brosnan, CEO
These findings come from our Risk and Confidence Survey, for more insights download your copy here www.cnahardy.com/pulse.