GLORAM uses six analytical risk categories (economic, geopolitical, environmental, health, technological, and risks to the business environment). It generates a series of objective, dynamic ‘at a glance’ visuals, which enable intuitive analysis of risks arising from unfamiliar sources or territories.
Zurich Financial claimed that GLORAM simplifies the results of complex risk modeling in an easy to understand way. The tool has been further improved following the lessons learnt from the financial crisis and is designed to help businesses with strategic decision making and risk mitigation in the face of difficult and constantly changing business conditions.
Daniel Hofmann, CEO of Zurich Financial, said: “These enhancements have been designed to help businesses build risk understanding that can be cascaded throughout an organization, ensuring strategic rationales are shared within the C-Suite and beyond. It gives senior executives a concrete, scaled illustration of risks, facilitating simple comparisons to be made across regions and providing a visual interpretation of how risk chains may apply.
“GLORAM provides the potential to hedge risks in order to protect assets, earnings, operations, and personnel. Most importantly, it enables a unique risk context to be established for major developments or plans, without taking up unreasonable amounts of senior management time and resources.”
