Risk assessments
Type of issues
You have identified emerging risks and you need tools to quantify your financial exposure, to ensure the sustainability of your activity or to increase your competitive edge.
You would like to know which remedial actions you should implement to reduce this exposure.
Modelling purpose
TXEM produces financial results for its risk assessments. Modelling financially the risks can reveal the different scenarios associated with the highest expected losses and can suggest potential remedial actions to implement.
Expected losses can be compared with the remedial action costs, through a cost-benefit analysis, to determine which action should be triggered first. This is not possible with risk indicators.
Producing financial results permits to compare risks between each other, or to aggregate these financial impacts to obtain a clear picture of your overall exposure. This is not possible either with risk indicators.
Examples of former impact assessments
Climate Value At Risk
- This methodology differs significantly from others by producing financial results calculated specifically for your infrastructure.
- The financial results can be used directly in cost-benefit analyses of potential remedial actions.
- Both physical and transition risks can be integrated within the same calculation, to produce comprehensive results.
- This methodology has been used for a wide range of industrial asset types, including factories and power plants.
Further development
Raw material scarcity financial impacts on factories.
