Geopolitical conflicts, cyberattacks and regulatory intervention characterise the current risk landscape for many companies. The half-yearly reports of DAX 40 companies show that risks are increasingly rarely isolated incidents. They reinforce one another, impact strategy and business development, and can attract public attention within a short space of time. Consequently, not only is the importance of risk management growing, but so too is that of communication.
Risk landscapes are becoming more complex and dynamic
The latest reports highlight the issues currently of particular concern to companies: geopolitical tensions, trade conflicts, cyberattacks, and legal and regulatory requirements. These risks have a direct impact on sales markets, supply chains, investments and cost structures. At the same time, they demonstrate just how closely economic, technological and political developments are interlinked today. It is also striking that, whilst climate risks remain relevant, they are currently viewed more often as a long-term transformation challenge than as a short-term business risk.
Trust determines the dynamics of a crisis
Many of these risks begin as operational or financial problems. However, their impact often extends beyond the immediate economic consequences. A cyberattack, a compliance breach or disruptions in the supply chain can trigger public debate and undermine the trust of customers, employees, investors or other stakeholders. Whether this leads to a crisis therefore does not depend solely on the event itself. What is crucial is how comprehensible decisions are, how transparently they are communicated and whether responsibility is clearly assumed.
Risk communication must begin before an emergency arises
This has a clear implication for corporate communications: it should not only become active once a risk has already materialised. Communication must be integrated at an early stage into the analysis, assessment and prioritisation of risks. Only in this way can potential areas of conflict, the expectations of relevant stakeholders and communication vulnerabilities be identified in good time. This requires close integration of risk management, strategy and communication. Abstract risk categories become concrete scenarios: Which developments might require a public explanation ? Which stakeholder groups would be affected? Where might there be contradictions with the organisation’s previous positioning?
Risks are part of business reality. Crises often only arise when trust is lost.
Cathrin Sengpiehl
Managing Director
[email protected]