Half of risk leaders confident in current strategy: WTW

23% of respondents said supply chain issues as a critical challenge. 

Only 29% of key decision-makers and their teams in the Asia Pacific (APAC) region believe their organisations are adequately prepared to address risks that may emerge over the next decade, WTW recently revealed.

Additionally, just 48% of respondents are confident in their current approach to managing today’s risk environment.  

The "Emerging and Interconnected Risks Survey", conducted by the WTW Research Network, assessed risks through a framework of 48 risks across eight categories, focusing on their impact over the short, medium, and long term, as well as the interconnectivity of these risks.  

Technology emerged as the dominant theme in the region's risk agenda. Artificial intelligence (AI) and technological advancements are expected to drive the most significant changes over the next 10 years. 

Meanwhile, cyber risks and technology-related challenges remain top concerns for organisations today and in the near future.  

Geopolitical uncertainties also pose significant risks, particularly in global supply chains, with 23% of respondents identifying supply chain issues as a critical challenge. 

Other key risks include regulatory changes, workforce planning, and the economic outlook.  

In the longer term, climate change risks are expected to have a major impact. 

More than half of APAC respondents (53%) identified climate change and climate transition as key drivers of change over the next decade, citing concerns over physical risk events, regulatory impacts, and economic disruptions.

Despite these risks, 35% of surveyed employees said they have never been consulted on emerging risks, and 55% were unable to identify their organisation’s most concerning risks. 

This indicates a gap in internal processes for evaluating and addressing risks effectively. Structured approaches, such as scenario planning, were seen as valuable tools for building coordinated strategies.

Simon Weaver, head of APAC and Corporate Risk & Broking at WTW, emphasised the importance of evolving risk management practices.

“We need to focus on optimising risk outcomes. Smart specialisation, smart service, smart use of data and smart research. It all comes together to help navigate the complex risk landscape,” Weaver said.

The survey included responses from over 330 participants across 55 countries, with 120 respondents representing APAC. These organisations collectively employ around 581,000 people and generate $972b in revenue. Respondents were drawn from 13 industries, including transportation, financial services, and natural resources.