Identifying, investigating, and monitoring new risks is a must for large organizations and getting structured news data with a News API for risk management is really important. It’s also a big challenge; If you don’t get it right, it can lead to a range of repercussions, including fines, losses, and reputational damage.
For this reason, financial institutions need to use new technologies to improve their emerging risk strategy. One way to do this is to use AI in horizon scanning to systematically examine the information and identify potential risks.
Horizon Scanning
Therefore, Horizon Scanning has emerged as a form of risk monitoring to identify emerging risks and react to them.
Horizon Scanning does not seek to predict the future, but as defined by the Institute for Risk Management: Horizon Scanning is a systematic examination of information to identify threats, risks, emerging problems, and potential opportunities, which enable better preparation and support decision-making.
Therefore, Horizon Scanning acts as a “creative and alert activity” to identify early warning signs of emerging issues that they have never considered and empowers organizations to act quickly and decisively when necessary.
Model of Three Horizons and Examples of Emerging Risks
In its own horizon-scanning methodology, the UK government analyzes a three horizon model that illustrates how strategic issues related to short, medium, and long-term risks can change over time.
In a business context, Horizon Scanning can be used at short notice. Monitor customer companies, competitors, or relevant industries as well as the performance of your own brand and your employees; Elements that can have a direct impact on a company’s results.
• Adverse media monitoring
• Identification of supply chain disruptions is some examples of short-term risks.
• Product recalls and early detection of defects
• Identifying country risks, such as political conflict or civil unrest
In contrast, the impact of medium to long-term risk may not be as clear as regulators, policymakers and strategists carefully analyze these issues, examine possible outcomes, and adjust policies and strategy accordingly.
Emerging risks related to unclear or changing framework conditions, such as regulatory developments or process trends. Some common long-term business risks that have emerged over the past several years include:
• Environmental, Social, and Corporate Governance
• Technology Regulation
• Artificial Intelligence
• Self-driving cars
Horizon Scanning News Intelligence
An important element of Horizon Scanning that sets it apart from a normal risk assessment is that it takes into account information that cannot normally be obtained within an organization.
Therefore, third-party data sources, e.g. B. provide news, a wealth of information about an organization’s industry and interests.
Competitors and reputation. While messages can deliver a constant stream of rich information, their size and incessant nature can make them difficult to tap into manually.
However, news intelligence platforms can use machine learning and natural language processing to automate this process and proactively monitor the feed.
An important element of Horizon Scanning that sets it apart from a normal risk assessment is to consider information that is normally within an Organization cannot be obtained. Therefore, third-party data sources such as B.
News, delivering a large amount of information in relation to industry, interests, competition, and reputation of a company automated, always-available Horizon scanners can save companies high overhead costs by recognizing risk signals and prompting risk analysts to take action if necessary.
Conclusion
New risks are by their nature diverse, difficult to quantify, and often difficult to identify; they can adversely affect businesses, so it is imperative to identify them as early as possible. Warning signs of emerging risks for companies to take decisive action if necessary. Information that is critical to your business.

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