In COVID Time, Is Your Tuchis Hanging Out?
Guest Post by Howard M. Weiner (first posted on CERM ® RISK INSIGHTS – reposted here with permission)
Only when the tide goes out do you discover who’s been swimming naked.”
– Warren Buffett
The current pandemic has wreaked profound dislocation on businesses throughout the world and upended societal norms as we know them. It may have been an unpredictable, ‘black swan’ event that will not recur anytime soon, though that’s open to discussion, but it’s worth evaluating your risk management practices to see whether you could have done better.
My guess is that, with the exception of a small fraction of companies, risk management is not done particularly well and better (or at least, less-worse) outcomes could have been achieved. [Read more…]