The Global Battle for Raw Material

For more than two decades the industry has mourned in the regular intervals of profit setbacks because of the fluctuating prices for raw materials and the currency fluctuation for export earnings. The list of the aggrieved companies makes a reading as the "who-is-who" of German economy: BMW, Daimler, Lufthansa as well as numerous medium-sized companies have all been affected by the crisis. Partially, in the yearly reports, one can find hints of the extension of risk management systems in order to be able to manage the fluctuation of market prices. However, more often there is a lack of appropriate approaches for risk measurement and governance, particularly in medium-sized companies.

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Key Success Factor of Risk-Management 2.0

The meaning of holistic and proactive risk management has been especially articulated in the recent painful financial crisis. Big and well established companies which were considered invincible not so long ago, were caused to totter or have been disappearing entirely from the market. Thus, commercial skills are now required in every sector, in which opportunities and risks are intrinsic and independent from whether it is a matter of finance (successes and liquidity risks) or of operational risks (among all, management, acquisition, production, organization or contracting risks).

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