Risk Management v4.0! how the Fourth Industrial Revolution is - PowerPoint PPT Presentation

Risk Management v4.0! …how the Fourth Industrial Revolution is expected to Risk 4.0! – 2020 shape the future of Risk Management

Introductions Key Speaker - Warren Black Founder & Principal of Complexus Risk 4.0! – 2020 Hosted by Steve Higginson Head Customer & Distribution, Swiss Re Corporate Solutions

Understanding the evolution of our Risk 4.0! – 2020 Working World

The Four Evolutions of our Working World 1 st Steam 2 nd Electricity 3 rd Computer 4 th Technology Revolution Revolution Revolution Revolution (Late 1700’s) (Early 1900’s) (Late 1900’s) (2016 >) Risk 4.0! – 2020 Mechanisation, Accessible power, Personal computers, Cyber systems, Smart factories, steam lighting, motors, programming, data, technologies, big data, plants, steam ships, refrigeration, automation, electronics, advanced analytics, steam trains, early assembly lines, internet, e-commerce, artificial intelligence, globalisation mass production Email, MS Windows autonomous machines During e a c h Re vo lutio n, the a c c e pte d thinking & wo rking me tho ds o f the da y c ha ng e d so ra dic a lly tha t the y no w re pre se nt a me a sura b le g ro wth spurt in huma n e vo lutio n

The impact of Technology on the Human Population Risk 4.0! – 2020 www.ourworldindata.org

So What? T he world is a t a c ross roa ds… T he future c o mb ina tio n o f b ig data, smart te c hno lo g ie s a nd inte g rate d c yb e r syste ms is g o ing to tra nsfo rm Risk 4.0! – 2020 o ur e xiste nc e a t e ve ry le ve l, c re a ting o ppo rtunitie s (a nd thre a ts) tha t we re o nc e unima g ina b le - K la us Sc hwa b (2019) F o unde r a nd Cha irma n o f the Wo rld E c o no mic F o rum

The Three Revolutionary Fronts of the Fourth Risk 4.0! – 2020 Industrial Revolution

Revolutionary Front #1 – The combination of Big Data and Advanced Analytics E xpe c te d a dva nc e s in da ta g a the ring de vic e s, inte llig e nt a na lytic s, q ua ntum c o mputing a nd info rma tio n sha ring ne two rks me a n tha t we a re ra pidly Risk 4.0! – 2020 tra nsfo rming into a “Dig ita l E a rth” Co nside r a n a b so lute g lo b a l ne two rk o f inte rc o nne c te d Smart Citie s, Smart Ho me s, Smart Offic e s, Smart Mac hine s, Smart De vic e s a nd the like - a ll g a the ring , sha ring a nd re spo nding to re a l time da ta a s a c o lle c tive SMART - Se lf Mo nito ring , Ana lyzing & Re spo nding T e c hno lo g ie s

Revolutionary Front #2 – The combination of Artificial Intelligence and Advanced Robotics E xpe c te d a dva nc e s in Sma rt te c hno lo g ie s, a ndro id me c ha nic s, c o mpo site ma te ria ls a nd na no - te c hno lo g ie s will e nsure tha t Risk 4.0! – 2020 a uto no mo us ma c hine s g e t sma rte r, sma lle r, lig hte r a nd q uie te r We sho uld in turn e xpe rie nc e c o lo ssa l le a ps in the c o ntrib uting ro le o f inte llig e nt, a uto no mo us ma c hine s within o ur future so c ie ty

Revolutionary Front #3 – The integration of Humans and Technology E xpe c te d a dva nc e s in b io te c hno lo g ie s, ne uro te c hno lo g ie s, o rg a nic c lo ning , ro b o tic s a nd 3D printing me a ns tha t it is o nly a ma tte r o f time b e fo re we se e the Risk 4.0! – 2020 first Cyb o rg Huma ns with e nha nc e d physic a l & a na lytic a l c a pa b ilitie s I n turn, huma ns no w risk b e c o ming so de pe nda nt o n te c hno lo g y tha t o ur spe c ie s b e c o me s vulne ra b le to the a b se nc e o f te c hno lo g y

Orders of Magnitude Risk 4.0! – 2020 Auto no mo us Ma c hine s Cyb o rg E vo lutio n Sma rt T e c hno lo g ie s Any sing le o ne o f the se ha s the po te ntia l to re vo lutio nise o ur wo rking wo rld, b ut a ll thre e a t the sa me time ? T he F o urth I ndustria l Re vo lutio n thus c o uld just a s e a sily a c c e le ra te o ur spe c ie s a s it c o uld e nd it

What will a future Risk Management v4.0 Risk 4.0! – 2020 need to offer?

Obvious Control Area #1 Cyber (enhanced) Risk Management Cybe r should r e volutionise e ve r y aspe c t of the r isk manage me nt value c hain Ric h, re a l-time da ta suppo rte d b y Risk 4.0! – 2020 so phistic a te d a na lytic s a nd c o mple x info rma tio n sha ring ne two rks ha s a n unlimite d po te ntia l to a dva nc e ho w we visualise , do c ume nt, asse ss, tre at, mo nito r a nd re po rt risks

Obvious Control Area #2 Complex Systems Thinking T he fac t is our wor king wor ld is not ge tting any simple r , only mor e and mor e syste mic ally c omple x Co nside ring ho w I ndustry 4.0 will b e Risk 4.0! – 2020 e na b le d b y a n unlimite d numb e r o f c o mple x-inte g ra te d c yb e r syste ms it is ha rd to pic ture a ve rsio n o f Risk 4.0 whe re b y c o mple xity manag e me nt & syste ms thinking a re no t a c o re c a pa b ility re q uire me nt

Obvious Control Area #3 Natural (Systemic) Resilience Re silie nc e is the ability to r e spond inte llige ntly to e nvir onme ntal c hange s I n a wo rking wo rld e xpe rie nc ing e ve r inc re a sing vo lume s & fre q ue nc ie s o f Risk 4.0! – 2020 disruptive c ha ng e s; mo de rn o rg a nisa tio ns will ne e d to b uild in a na tura l immunity to ra pidly e me rg ing te c hno lo g ie s, c o mpe tito r a dva nc e s, c usto me r shifts, ma rke t sho c ks, disa ste rs a nd e ve n de lib e ra te a tta c ks

Preparing the risk management community Risk 4.0! – 2020 for Industry 4.0 (aka future proofing our profession)?

What’s your 5, 10 and 30 year Risk Transformation Plan look like? > 5 ye a rs fro m no w o ur wo rking wo rld will b e drive n b y sma rt te c hno lo g ie s, a dva nc e d da ta a na lytic s a nd c o mple x inte g ra te d syste ms Risk 4.0! – 2020 > 10 ye a rs fro m no w o ur wo rking wo rld will b e fully e mb ra c ing the use fulne ss o f inte llig e nt-a uto no mo us, ma c hine ry > 30 ye a rs fro m no w o ur wo rking wo rld wo uld ha ve a c c e pte d the e xiste nc e o f c yb o rg & a ndro id te c hno lo g ie s We no w kno w ho w & whe n the wo rld is g o ing to c ha ng e , b ut wha t is the risk ma na g e me nt pro fe ssio n do ing to pre pa re ?

Coronavirus - the ultimate case example of modern risk management T he Co ro na virus c risis ha s a lre a dy de mo nstra te d tha t mo de rn risk ma na g e me nt is no t a simple -sta te g a me … I t is in fa c t a hig hly te c hnic a l disc ipline tha t re q uire s a va lid unde rsta nding o f; Risk 4.0! – 2020 Org a nisa tio na l disruptio n • Unc e rta inty ma na g e me nt • Pro b a b ilistic mo de ling • Da ta a na lytic s • Mo de rn te c hno lo g ie s • Na tura l syste mic re silie nc e a nd • Co mple x syste ms •

Close Risk 4.0! – 2020

Key Learnings from today T he future c o mb ina tio n o f b ig Risk Management 4.0 data, smart te c hno lo g ie s and c o mple x c yb e r syste ms is g o ing to tra nsfo rm o ur wo rking wo rld Risk 4.0! – 2020 Complex Systems Cyber Methods Resilience I n turn, the Risk Ma na g e me nt disc ipline will ha ve to upskill a nd e vo lve if it is to a dd va lue to a future wo rking wo rld o f a dva nc e d c o mple xity a nd pe rpe tua l disruptio n

Thank you! Risk 4.0! – 2020 Contac t us F o llo w us Ste phe n Hig g inso n L isa Ma tthe ws • • He a d Custo me r & Distrib utio n ANZ Custo me r & Distrib utio n Ma na g e r ANZ • • Ste phe n_Hig g inso n@ swissre .c o m L isa _Ma tthe ws@ swissre .c o m • • (03) 9935 0001 (03) 9935 0009 • •

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