The next shock will come, for sure!

What do companies need to do in order to prepare for crises like the corona pandemic? Professor Utz Schäffer, Director of the Institute of Management Accounting and Control (IMC) of WHU – Otto Beisheim School of Management, and Professor Barbara E. Weißenberger, Chair of Accounting of Heinrich Heine University Düsseldorf, have analyzed the crisis management of the past months. Just like during the financial crisis of 2008/2009, most companies are steering by sight. But how could this happen? Why do people mostly ignore the possibility of external shocks and resulting crises in good times? The authors provide answers in their article "Der nächste Schock kommt bestimmt" (in German) in the Frankfurter Allgemeine Zeitung of 13 July 2020. They call for a stronger focus on possible shocks and existential crises in every company's risk management.