Mining and metals companies are exposed to a higher than average level of risk and their risk appetites refl ect this. While underlying business risks do not vary signifi cantly from year to year, their level of acuteness and priority can change depending on the economic environment. The changes are subtle but signifi cant enough to sometimes change the drivers of these risks as they develop along with the market.
In working through various risk scenarios and performing impact analysis, we’ve found
opportunities for mining and metals companies to adequately prepare themselves for existing and potential risks. In doing so they’ve not only been able to tighten processes and controls, but also made themselves more agile and able to seize strategic opportunities, as well as operate more effectively, no matter what the market conditions.
How well are the risks and risk appetite defi ned, communicated and understood at your
organization? If you’re not sure about the answer to that question then chances are your
company needs to examine its risk profi le with some urgency.
Through our discussions with mining and metals leaders, and from our analysis of
organizations around the world, we’ve been able to identify the top 10 global business
risks in the mining and metals sector at this time. While this is not an exhaustive list of
risks, it provides a snapshot of the most signifi cant challenges currently facing the sector.