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More Execs See Importance of Risk Management

Risk mitigation can make financial management less of a gamble.

Companies looking to protect their assets and operations from unexpected events beyond their control, while also gaining a competitive edge in their industries, are putting more emphasis on risk management, Steve Culp, managing director for Accenture's risk management consulting service,

Companies looking to protect their assets and operations from unexpected events beyond their control, while also gaining a competitive edge in their industries, are putting more emphasis on risk management, Steve Culp, managing director for Accenture's risk management consulting service, writes for the Forbes blog.

Culp points to Accenture's survey of almost 400 risk professionals working in 10 industries, which found organizations are putting more resources into managing risk. Companies are integrating the topic into their business strategies and using the tactic "more aggressively, well beyond the realm of compliance," he said.

Among the survey's findings was the revelation that more than 80 percent of respondents said risk management was a vital aspect of handling organizational complexity and volatility in the marketplace. Additionally, 86 percent of respondents said the tactic had helped them deal with rapid and unexpected changes in the financial environment and economy. Executives also told Accenture that risk management played into their plans for long-term growth and profitability.

The foresight that comes with risk management helped Salt Lake City, Utah-based proprietary trading firm Maverick Trading actually make gains during the recent market upheaval on Wall Street, the company reported.

Company executives said their internal risk mitigation techniques allowed them to cope with the trading volatility and chaos.

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