In today’s global markets, uncertainties can play out rather quickly and dramatically. From exposures to changes in the price of commodities, speed of technology development, or security of supply, the financial impact can be devastating. Who wants to report an unplanned loss to senior management or Wall Street because of a bad contract?
We help companies implement policies and procedures to systematically identify, value, and manage large risks. We draw upon best practices and our consultant’s knowledge as former traders, risk controllers and executives of commodity risk trading organizations. Whether it’s a process for vetting large, complex deals, or managing a category of key risks such as commodity prices, we provide clients with tailored solutions in developing risk policies and procedures.
Benefits of strong risk policies and procedures include:
- Enhanced decision-making in proposed business strategies and transactions
- Reduced occurrences of financial surprises from an ability to better manage and anticipate commodity risk uncertainty
- Competitive advantage through an increased ability to take more risk due to the confidence and knowledge generated from sound measurement and management process
- Improved communication with internal and external stakeholders about risk expectations and the potential impact on company performance