Page 40 - Risk Report 2024

IRMSA
40 RISK REPORT 2024/25
Scenario:

What it can look like if it happens now

African trade through SA reduces sharply, with commensurate loss of direct income to organisations and tax
revenues. African businesses headquartered in SA move support functions to economically stable countries
(supported by technology enabling remote working).

Immediate resilience/emergency

preparedness: Medium impact in the

short term

Planning Partnerships Review and protect

Develop plans to manage cash Explore national and regional Review and continually
flow, secure alternative sources strategic partnerships, joint improve protection strategies
of financing, and implement ventures, and/or alliances to safeguard physical and
cost-cutting (e.g. renegotiate to (under dire conditions) intellectual property assets.
contracts, reduce inventory collaborate for the good of the
levels, or temporarily suspend industry and its stakeholders
non-essential projects). (e.g. employees, clients,
suppliers).

Contingency Planning Diversiffy supply chain Reputation management

Develop contingency plans Diversify suppliers, secure Establish crisis communication
to manage employees during alternative sourcing options, with stakeholders (e.g.
an economic crisis (e.g. and implement contingencies customers, suppliers, investors,
temporary furloughs, reduced for logistics and transport authorities) to protect trust
work hours, redeployment to disruptions. and reputation.
critical operations), ensuring
compliance with labour laws
and maintaining employee
communication.

Identify vulnerabilities

Review and stress test BCPs under economically strained conditions to identify vulnerabilities and refine
responses.