Key part of global economy wrestling with significant risks

KARACHI: Top risks facing public sector organisations are financial challenges and an inability to meet changing demands and expectations of the public for services.

ACCA conducted a global survey of finance professionals and public sector managers. It showed a key part of the global economy wrestling with significant risks, while not always having the tools to cope.

The following five risks were highlighted: Financial challenges 49%, Meeting changing demands and expectations for services“ 35%, Talent & skills deficit“ 35%, Poor organisational culture“ 28%, Ineffective leadership 26%.

In response to the challenges facing the public sector, ACCA new guide Calculated Risk makes the case for finance professionals taking a leading role in the risk management process.

The finance function is well-placed to recognize risks across the organization and support leaders in addressing these risks. Many public sector organisations are not making effective use of their finance professionals and their capabilities in risk management.

Identifying risk is a two-way process organisations need awareness of any unidentified risks. The public sector must successfully negotiate the significant risks it faces, to help build more resilient public services.

Copyright Business Recorder, 2023