Managing Risks Effectively

Risk need not be so fearsome, provided you arm yourself with the winning advice of this magazine. Philip Bromiley and Devaki Rau offer nine practical suggestions to help managers distinguish the risks that really matter, i.e., those that might put you out of business. Gaizka Ormazabal describes the pressure on boards to oversee corporate risk and how companies are responding. Witold J. Henisz explains how to mitigate stakeholder risks and maximize stakeholder potential. Jordi Canals presents a framework to make companies respected institutions in society once again. Alejandro Ruelas-Gossi proposes an alternative to the 'global factory' model, called 'Vantage Point,' which emphasizes a country's natural advantage (with a commentary by Pankaj Ghemawat). Alex Cruz, Chairman and CEO of British Airways, discusses excellence in the airline industry. Executives debate Airbnb's P2P business model and how it might expand across Europe without compromising trust in the brand. And Dr. Rafael Matesanz reveals how Spain became the world leader in organ donations and transplants.