Risk Intelligence is a service that enables companies to assess the impact and frequency of stakeholder risk occurrences in a systematic and verifiable manner.
Risk intelligence allows companies to collect data in order to detect and quantify the risks they face. It allows a company to make informed judgments regarding its risk exposure and security threats.
Risk intelligence enables organizations to manage risk by recognizing and mitigating risks, uncovering opportunities and ultimately creating value for all stakeholders by moving from risk management to risk anticipation, using threat monitoring tools and risk mapping.
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Risk intelligence includes all potential threats a business could face, such as cyber threats, extreme weather events, customer dissatisfaction, supply chain failures, or industry actions. Every common hazard, as well as a high-risk situation, should be quantified.
The ability of an organization to recognize, assess and mitigate the risks posed by stakeholder perceptions, competitor activity, government legislation and anything else that influences business success is known as risk intelligence.
All of these features are integrated into a risk intelligence solution powered by alternative data and using AI and machine learning.
Developing a baseline for risk intelligence involves modeling risk-free scenarios. “Normal” – zero risk – is analyzed in relation to various challenges and stakeholders by evaluating previous data for thousands of companies. This shows how an organization’s average risk score compares to others in its industry.
Risk intelligence technologies can detect changes in a company’s risk profile by extracting millions of bits of content from print, web, television, social media, parliamentary records, memos of analysts and stakeholder-specific channels.
When a subject exceeds the usual criteria, quantitative change alerts send early warning signals. A push mechanism will be included in an intelligent alert system to help understand threats and respond as quickly as possible.
CROs can use Alva’s Risk Intelligence solution to create custom applications such as horizon monitoring, scenario modeling, and parametric triggers.
The reporting of an incident, the assessment of its duration, the quantitative identification of its standardization and its end are enabled by the parametric triggering of the risks of the stakeholders.
Alva develops quantifiable risk thresholds for stakeholders based on five years of scored risk data. When these lines are crossed, an alarm is sent.
Over time, thematic modeling reveals thematic drivers in relation to certain stakeholders. This forward-looking analysis helps identify issues that could impact the business, such as government policy, demographic trends, changing consumer behavior and changing public mood.
Risk modeling incorporates a variety of situations to inform best practices and gain greater control over outcomes.
Data is used to facilitate decision-making, preventing risk management from turning into crisis management.
Risk intelligence provides CROs with detailed insights into all organic risks their business might face, how well they fit against historical standards, and how their risk level stacks up against industry competition, in addition to constructively tracking a company’s known risks and reporting any significant changes in their risk status.
This risk data serves as the basis for a reporting and risk management approach between stakeholders.
Companies that implement cutting-edge risk intelligence solutions will be the most productive in preventing developing risks from becoming crises, given the pace and multiplication of stakeholder risks. They will be true risk intelligence agencies.
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