The Magazine of Corporate Responsibility

Tag Archive for ‘Risk Management’

U.K. Institutional Investors Urged to Increase Engagement with Management and Boards

Institutional investors and pension fund managers in the United Kingdom should do more to monitor and engage with the companies in which they invest – or else explain why they have not done so, according to provisions of a new voluntary code issued by the U.K.’s Financial Reporting Council.

The Ethical Risk of Business as Usual

Columnist Gael O’Brien wonders what it will take to convince corporate leaders to build into their risk management strategies the capacity to ask crucial questions about ethical liability, as is done with legal liability. Such a step, she says, would be hardly radical and would have the objective of putting ethical conduct on the table as a deliberate outcome.

RiskMetrics Introduces New Governance Scorekeeping Tool

The new GRId, or Governance Risk Indicators, will score companies against best practices in four areas: board, compensation/remuneration, shareholder rights and audit.

Toyota Recall: Five Critical Lessons

Fixing the problem and ensuring that something like it doesn’t happen again will require an all-out effort by Toyota, from assembly line to the boardroom. Even then, there are no guarantees. Maintaining a good corporate reputation in the 21st century is tricky business indeed.

Opinion: MBAs Adapting to Changing Times

Jeanette Purcell, CEO of the Association of MBAs, says the economic downturn has fueled much debate about where the blame lies for the financial crisis we’re in. Some critics have pointed the finger at business schools which, it is argued, have been teaching the wrong things to MBA students and neglecting topics such as risk management, corporate governance and business ethics. These criticisms, counters Purcell, overlook the significant changes in business schools that have taken place over the past decade.

Opinion:10 Questions on Risk Management for the New Decade

For the last ten years, risk governance and risk management have been on the ascendancy. Early in the decade, Enron and its ilk helped to propel a sense of urgency and crisis. But the recent financial crisis, compounded by snowballing sustainability issues such as climate change and product toxicity, made it clear that risk management is a work in progress. Far more must be done to turn the patchwork of risk management approaches into viable public policy and corporate governance solutions.