How Risky Is Your Company?
Success brings your company profits, growth, and unbounded optimism. It can also blind you to risks that creep in with success. For example, a fast-growing firm accelerates hiring. Soon new, inexperienced employees are making dangerous mistakes - such as mishandling key customers. How to manage the risks lurking within your company during boom times? First, use Simons's risk exposure calculator to examine three types of internal pressures - those due to growth, to culture, and to information management. For instance, rapid expansion in operations suggests you're highly vulnerable to growth-related risk.