{"id":1967,"date":"2017-03-02T18:12:02","date_gmt":"2017-03-02T12:42:02","guid":{"rendered":"https:\/\/cigniti.com\/blog\/?p=1967"},"modified":"2018-03-30T15:21:51","modified_gmt":"2018-03-30T09:51:51","slug":"know-risks-clients-face","status":"publish","type":"post","link":"https:\/\/www.cigniti.com\/blog\/know-risks-clients-face\/","title":{"rendered":"Why You Should Know the Risks Your Clients Face"},"content":{"rendered":"

Risk \u2013 Fact Vs Perception<\/strong><\/h3>\n

The future is, and always will be, uncertain! A risk simply implies future uncertainty about aberrations from expected outcomes. It is simply not a perception anymore. It is a researched, calculated, and predicted fact, which helps organizations manage their own, and in turn, their client\u2019s risks as well.<\/p>\n

Why You Should Know the Risks Your Clients Face<\/strong><\/h3>\n

Service organizations are not only required to understand their clients\u2019 business type, expected levels of satisfaction, technology and environmental challenges, but also their risk profile. It has become vital these days to determine client risk classification in accordance with their regulations. Performing this additional step of knowing clients through their risk classification gives service organizations the required edge, and helps to know their clients better.<\/p>\n

Knowing the business that the Client deals with helps immensely while completing your work for the Client. It leads to asking the right questions and evaluating how reasonable the answers given seem to be. This helps while approximating the principles, processes, and policies of the client. It is also important so as to identify the unexpected deviations that could be encountered later in the business process.<\/p>\n

Knowledge of the business of the client and the industry in which it operates, is necessary to the development of a strong relationship and aids in understanding the management\u2019s philosophy and aspirations for the business. Understanding the business strategy and plans can lead to providing relevant and practical business advice to the client. It also helps massively in identifying areas in which the client might benefit from other professional services which we may be able to provide.<\/p>\n

Key Risks that Organizations across the world are facing:<\/strong><\/h3>\n

According to the 2017 Global Risks Report, most organizations across the globe are in the midst of dealing with 4 key risks \u2013 Environmental, Socio-economic, Technological, and Cooperative.<\/p>\n

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  1. Environmental<\/strong> \u2013 Risks related to the Environment dominate the 2017 global risk landscape, in terms of probability and the impact with extreme weather events, large natural disasters, as well as failure of mitigation and adaptation to climate change, as the most prominent global risks.<\/li>\n
  2. Socio Economic<\/strong> \u2013 Some of the common risks in a socio-economic situation includes rising income inequality, and the polarization of our society along ethnic, religious, and cultural lines. The social protection systems have suffered from a \u201cperfect storm\u201d of threats, such as financial crises, underfunded systems across the world, aging population, mass migration, etc. This has resulted in increased cost and risks for individuals, which may hamper individual and business growth. This creates a need to have a solution. The solution must not only address these rapid changes, but also should be interconnected and collaborative between businesses, individuals, and the governing bodies.<\/li>\n
  3. Technological<\/strong> \u2013 These are common across the business and technological sectors. A few important ones:<\/li>\n<\/ol>\n