How can Commercial Leasing leaders manage risk?

1 Identify and assess risks

The first step in managing risk is to identify and assess the potential sources of uncertainty, volatility, or loss that can affect your commercial leasing business. These can include external risks, such as changes in demand, competition, regulation, or technology, as well as internal risks, such as operational inefficiencies, human errors, or fraud. To identify and assess risks, you can use various tools and methods, such as SWOT analysis, PESTEL analysis, risk matrices, or scenario planning. The goal is to understand the likelihood and impact of each risk, and prioritize the ones that require the most attention.

3 Monitor and review risks

The third step in managing risk is to monitor and review the risks that you have mitigated and transferred. Monitoring risks means tracking and measuring their performance and evolution, such as using key performance indicators, dashboards, or audits. Reviewing risks means evaluating and updating your risk management plan and strategies, such as conducting regular reviews, feedback sessions, or audits. The goal is to ensure that your risk management is effective, efficient, and aligned with your objectives and expectations.

4 Communicate and collaborate on risks

The fourth step in managing risk is to communicate and collaborate on risks with your stakeholders, such as your team, tenants, landlords, investors, or regulators. Communicating risks means sharing and reporting relevant information and insights on your risk management activities and outcomes, such as using reports, newsletters, or meetings. Collaborating on risks means involving and engaging your stakeholders in your risk management processes and decisions, such as using surveys, workshops, or committees. The goal is to increase transparency, trust, and accountability on your risk management.

5 Learn and improve from risks

The fifth step in managing risk is to learn and improve from risks with your stakeholders, such as your team, tenants, landlords, investors, or regulators. Learning from risks means analyzing and reflecting on your risk management experiences and results, such as using lessons learned, case studies, or feedback. Improving from risks means implementing and applying your learning to enhance your risk management capabilities and performance, such as using best practices, training, or innovation. The goal is to create a culture of continuous learning and improvement on your risk management.

6 Leverage and capitalize on risks

The sixth and final step in managing risk is to leverage and capitalize on risks with your stakeholders, such as your team, tenants, landlords, investors, or regulators. Leveraging risks means using your risk management skills and knowledge to create value and opportunities for your commercial leasing business, such as using risk analysis, risk appetite, or risk differentiation. Capitalizing on risks means exploiting and maximizing the benefits and advantages that your risk management can bring to your commercial leasing business, such as using risk optimization, risk sharing, or risk reward. The goal is to transform your risk management from a defensive to an offensive strategy.