Current risk management frameworks are not sufficient (Lex Hoogduin)
MICHAEL DAMM LECTURE: RISK MANAGEMENT 2.0 - HOW TO DEAL WITH COMPLEXITY AND UNCERTAINTY?
Current risk management frameworks do not sufficiently take into account the uncertainty of the future and the complexity of society and the financial system. This leaves states, cities, banks and other financial institutions fragile. They are susceptible to "blow-ups", so called black swans and insecurity.
In this lecture, Lex Hoogduin will briefly present FAUC (Framework for Acting under Uncertainty and Complexity). FAUC aims at supporting effective action in the world as it is: complex and uncertain.
He will then argue that effective risk management requires a review and extension of current risk management approaches. Subsequently, on the basis of FAUC he will present Risk Management 2.0.