Vietnam Results
In this ninth run of the Aon Global Risk Management Survey, the number of participants from Vietnam has almost tripled compared to 2021. The results, which reflect approach on business risk and risk management of Vietnam general management, finance, risk, and people leaders across industries, showed the “long tail” of the disruptions caused by the pandemic, as well as the increasingly interconnected nature of risk that requires cross-functions measures to effectively manage and mitigate.
Top 10 Risks Facing Vietnam Organizations Now
- Economic Slowdown/ Slow Recovery
- Business Interruption
- Rapidly Changing Market Trends
- Increasing Competition
- Cash Flow/ Liquidity Risk
- Property Damage
- Failure to Innovate/Meet Customer Needs
- Failure to Attract or Retain Top Talent
- Regulatory/ Legislative Changes
- Pandemic Risk/Health Crises
Almost two years into the post-pandemic era, economic slowdown/ slow recovery, rising inflation and fluctuating market trends experienced globally affected Vietnam’s largest exporting markets and foreign direct investors, weighing down on local manufacturers and trading companies. Business Interruption risk maintained its position from 2021 as second most concerned risk by Vietnamese businesses, driven by property damages, natural catastrophes, global geopolitical and supply chain issues. While inflation was relatively controlled in Vietnam, cash flow crunch persisted, caused additionally by temporary interest rate hike along with other financial regulatory measures, business interruption, and real estate market cooling down.
In the past three years, a series of critical new or updated regulations have been issued (including cyber security, data privacy, accounting standards, new reporting requirements, tightened access to credit, etc.,), followed by increasing government scrutiny across the industries. Regulatory/ Legislative Changes risk emerging in top 10 of this year’s survey reflected organizations’ awareness of their market and industry readjusting to the new government supervisory standards and, in case of global groups, geopolitical shifts.
