Many projects are started to create change or to make the world better in some way. The growing list of risk megatrends (more on that in a moment) poses significant challenges to the traditional view of risk. Disruptive risks are growing in significance and impact, so mitigating or transferring risk entirely is no longer going to be enough.

Why does our approach to risk need to evolve? As I write this late in 2023, two risks are increasingly becoming pervasive. They are acknowledged as a severe concern for project managers in the Building Resilience Through Strategic Risk Management report:

1. Climate change: This was the year that climate change hit home for me in a whole new way for two reasons.

First, I have seen the adverse effects of climate change. The 2023 wildfires in Canada have been shocking to witness. These natural disasters had far-reaching effects, like negatively impacting air quality in New York. These experiences challenged the view that Canada, a colder country in the northern hemisphere, might be able to escape the negative impact of climate change.

Second, I read The Uninhabitable Earth: Life After Warming by David Wallace-Wells, which is about the consequences of global warming. Wallace-Wells powerfully explains that a range of outcomes, from likely to less likely, will result from climate change. Facing these challenges in the coming years will be easier if we invest in enhancing our resilience earlier.

2. The AI transformation: The rise of a new generation of artificial intelligence tools like Bard, ChatGPT and Midjourney also raises risk implications. Like many of you, I have mixed views about AI. I recently experimented with it and found some interesting results. As a science fiction fan and technophile, I’m excited by the potential.

 

Read more here.