Recessionwatch_background

The principal reason we wanted to set up this forum was driven by a need for members to share news of how the recession has affected the way they or their clients practice risk management.

Like Mervyn King said, it is difficult to exaggerate the severity or importance of the changes taking place in our economy and the way the world will change as a result is an open question. The state is getting involved in economies in ways not even Karl Marx could have foreseen. Companies and Governments in the West are looking to the developing world for ways out of the current crisis.

We know the recession affects everyone and we know the personal effects of recession are devastating. Whilst we cannot prevent those effects we can help by sharing experiences and offering advice to members. The crisis will affect more than risk management practices -businesses are changing the way they operate as a result of the enormous economic forces that are exerting themselves - and if our members know about these changes they can prepare for the risks they bring.

No-one knows how long the recession will continue. The Institute does not wish to indicate it is amongst those that take a pessimistic view of the likely length of time the economic dislocation will affect us. As an international organisation we know the impact will be different in different parts of the world and the way risk management is impacted will probably be very different also. That’s why we want member’s stories and experiences.

It appears from discussions with many people in the profession that reactions have been mixed: sometimes it appears risk management has been downgraded because it is felt there are “more serious things” to manage, and at other times risk has risen to number one on the Agenda.

There are bodies which represent the interests of risk managers and companies. Their remit however, is restricted to their own geographical or sector interest. They are active in helping their members prepare for and work through the recession in very practical ways. It is unlikely that sharing information across borders or sectors is at the top of their agenda.

There does not appear to be a forum for people involved in the profession of risk management, whether IRM members of not, to report any changes that may be taking place. And that is why we have started this initiative.

We would like to hear not only from members in the UK but also from non-members who are interested in risk. We would especially like to hear from our international members on how the global downturn has affected your risk management practices. If you are a consultant to various organisations and you see a difference in the way your clients operate, please let us know.

We do not know where this will lead. It may be that we change the style as we see how members use this forum: that is for later. What is needed in the first instance are your comments, or reactions to events.

Please follow the links and review the website. Please let us know what you think or get involved through the Innovation and Value Creation Special Interest Group.

Any comments can be sent to recessionwatch@theirm.org.uk

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