“To avoid liability risks under the Delaware fiduciary requirement of duty of loyalty, Kossovsky writes, ‘boards need to traverse a narrow path in a minefield between the legal duties of owner value maximization and the legal risks of having acquiesced to the investment community’s demands for ESG pledges. The one solution we see that can do this effectively is reputation risk management, which would entail new enterprise risk management and governance strategies.’”Agenda
August 28, 2020
“Kossovsky writes ‘The one solution we see that can (avoid liability risks) effectively is reputation risk management.”
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Reputation risk management is strategic governance, leadership, controls and insurance.
Risk governance and management, risk financing, and risk transfer through insurances comprise the constituent elements of a comprehensive enterprise reputation risk management solution.
What’s your strategy?