To kick off 2018, Dan Amos CEO, Aflac shares the three principles to better understand risk ….
As we welcome in 2018, the world is becoming increasing more complex. Bigger opportunities, bigger threats, bigger risks. And the decision making time has been truncated dramatically. A few months back Dan Amos and I were talking and he shared how he manages insurance risk, “I call these the three principles of managing risk in insurance: don’t risk a lot for a little, don’t risk more than you can afford to lose, consider the odds.”
The more I thought about these three principles the more I realized they not only apply to insurance but to practically all decision making. And then it really hit me, in our age of digital transformation, they are more relevant than ever and in fact can be the key to simplifying fast moving, complex information. So here’s my new year thought for CEOs in 2018 … when faced with ambiguous information, high stakes and need for a fast decision, start by asking yourself, “am I risking a lot for a little, can I afford to lose and what are the odds of success?”