Case Study - Balfour Beatty: Managing Strategic Risks

Client: Balfour Beatty
Services delivered: strategic risk management , mentoring & training

The management of strategic risks is a key concern for every senior manager. Many of these risks can be expressed in financial terms but, increasingly, companies are judged on more intangible criteria such as corporate social responsibility.

Our internally-funded research, coupled with our experience helping major public and private sector organisations, has enabled us to develop the methodologies and skills needed to help our clients derive maximum value from their risk management activities.

A recent example of our work in this area was for Balfour Beatty Rail Infrastructure Services. We used a top-down approach to help BBRIS identify the strategic risks to its objectives and develop a consistent set of risk registers across the operational business units, focussed at an appropriate level of detail for each management team. The BBRIS executive team was particularly concerned with the strategic level ‘transition risks’ associated with a period of major change and their ‘risk appetite’ within the constraints of Balfour Beatty Group policy. Our assistance was well received by the senior managers involved, building increased understanding and ownership of the importance of strategic risk management.