Given the scale of operations, which of the following organizational competencies can best help it manage risks and respond to disruptions?

A company with a global presence is expanding its operations in emerging markets.

Given the scale of operations, which of the following organizational competencies can best help it manage risks and respond to disruptions?
A . Investing in redundancy
B . Building resilience
C . Leveraging technology
D . Business continuity planning

View Answer

Answer: B

Explanation:

According to the ASCM CTSC Exam Content Manual, building resilience is one of the organizational competencies for risk management and disruption response. It is defined as "the ability to recover quickly from difficulties and adapt to changing conditions"1. Building resilience can help a company with a global presence to cope with the uncertainties and complexities of operating in emerging markets, where risks and disruptions may be more frequent and severe. Some of the elements of building resilience include developing a risk-aware culture, implementing agile processes, fostering collaboration and innovation, and enhancing learning and feedback loops23.

1: ASCM CTSC Exam Content Manual, page 7.

2: From risk management to strategic resilience | McKinsey

3: Risk Management Magazine – Dealing with Disruption