External Risk

Risks originating from factors outside an organization's control, such as economic conditions, competitor actions, regulatory changes, technological disruptions, or natural disasters. These risks cannot be eliminated but can be anticipated, monitored, and mitigated. Within RBPM, external risk management focuses on developing resilience, agility, and contingency plans rather than risk elimination. Scenario planning and early warning systems are particularly important for managing external risks within the organization's appetite boundaries.