“The highest risk of our time lies in the fear of taking risk” as the Austrian sociologist Helmut Schoeck stated one key challenge of a modern risk society. Due to the increasing complexity and acceleration of decisions in a globally interconnected world risk management becomes an ever-important task for firms and governments. Recently, attention has been directed to the threat to Critical Infrastructure caused by climate catastrophes, business crime or terrorism. But also the “minor” risks, such as weather extremes, power blackouts of short duration, IT-disruptions or disrupted suppliers can seriously impact the “ordinary run of things” and the way how we wish to (or even must) take it for granted.
We develop Risk Management Systems and provide support and advice for complex decision problems:
The Risk Management Research Group works on research questions and practice-relevant problems in the area of Risk Management with a special focus on systemic risks, Critical Infrastructure, industrial value chains and behavioral risks such as organizational incentive schemes, reputational risks, trust and acceptance. We support industrial partners with the development and test of a Risk Management System (ISO 31000) which should be effective and manageable at the same time. Our work is primarily led and funded by projects.
Our expertise refers to the modeling of strategic market interactions and complex techno-economic systems. Thereby, the objective is to simulate human decisions within a complex environment which is restricted by critical boundary conditions (ignorance, stress, adverse incentives). To ensure the practical application of methods and mechanisms in this regard, we develop procedures that focus on the stability and robustness of systems (“stress test”).
We are experts in the areas of behavioral and strategic risk management:
We put emphasis on the decision maker and his decision environment. One focus of our research is on the exploration of risk behavior of experts and stakeholder-groups as well as on the analysis of all related decision-relevant factors, e.g. budget restrictions, institutional regulations, situational incentives and conflicts of interests. In this context, psychological factors such as risk tolerance or risk perception are of importance. It is possible to determine “collective risk preferences” and organizational risk cultures for groups and organizations, too. Also the analysis of reputational risks and corporate governance, of trust (e.g., between OEMs and suppliers) and of stakeholder-acceptance belong to our core competencies. We model behavioral risks using game-theoretic, experimental and agent-based methods.
We carry out risk management as a scientific discipline without losing touch to the practitioners’ needs:
An intelligent risk management requires the proper use of mathematical and statistical methods. Moreover, it relies on experience, expertise and alertness towards new risks and potential dangers. Our team consists of researchers with backgrounds in engineering or economics that makes an ideal mix: we are used to logical and complex tasks and have considerable experience in research projects commissioned either by the private or public sector. Due to our creativity and lateral thinking we are just the right team for questioning and improving of what appears to be the optimal solution.
It would be great If we could raise your interest!