Ridge on Managing Risk During Tough Economic Times

April 17, 2009

A risk-intelligent enterprise views risk management as a core business function, said Tom Ridge, president and CEO of Ridge Global and the nation’s first secretary of Homeland Security and former governor of Pennsylvania.

In a recent Q&A with CPA Insider, Ridge was asked how companies should respond to the current global financial crisis: “Economic challenges should stimulate a fresh look at fundamentals as well as a new approach toward finding innovative and creative ways to do traditional things in a more effective way,” said Ridge.

“It is critical to anticipate and prepare for a myriad of risks, including currency fluctuations that could impact an organization’s financial viability and issues of non-compliance that cause equity value to drop and the brand to be tarnished, which was the case with Mattel.”

Advised Ridge, “To deal with the wide range of risks facing enterprises, it is important to have a risk-intelligent enterprise conversation at the C-level. An organization must first determine its points of “interconnectedness,” identify the greatest current risks to the enterprise today and then set priorities and manage aggressively.”

To read the full interview, please click here.

Contact: Michele Nix +1-202-833-2008