Increasing uncertainty
I was reading about the future of risk. The first factor that the writer highlighted to be of the utmost importance is the uncertainty risk with regards to geopolitics. It was quoted that “The World Uncertainty Index is about 9 times more than that was in 2020”.
What is World Uncertainty Index?
World Uncertainty Index measures the global political and the economic uncertainty. I find the intention is quite helpful. But I find the way it is measured a bit weird. So, how exactly it is measured? The count of the frequency of word “uncertainty” and related words found in the quarterly Economist Intelligence Unit country reports. Surprisingly, it is scientifically proven index for measuring uncertainty.
New reality
As per the report, the index is maintaining the high value and there are no signs of it to be coming down. Therefore, it is assumed that this will be the new normal for the global uncertainty and that the businesses needs to be more adaptive, cross-functional and “technical”. I agree with being adaptive and functional but for anything to be technical we shouldn’t be uncertain about what needs to be done, it does not result in the desired results.