BASALE,MARIA CILENA I.

APRIL 20, 2023

3RD YEAR-SBENT3A GROUP # 3

6 MOST CRITICAL MEETING RISK RELATED FACTORS

Regulatory risk has become an increasingly sensitive concern for the C-suite. Public contempt
has been thrown on bailout businesses, pharmaceutical and financial companies, and other
industries for mismanaged costs surrounding meetings and gatherings. The greater scrutiny
being placed on this spending area has re-energized efforts to regulate meetings. Meeting risk
variables range from natural calamities and pandemic scares to regulatory oversight.
Professional planners who work on numerous meetings at the same time and have more
demanding time constraints may be more prone to human error, which adherence to a
disciplined planning process may assist to prevent.

Financial risk is the possibility of losing money on an investment or business enterprise. Credit
risk, liquidity risk, and operational risk are three of the more prevalent and different financial
hazards. Financial risk is a sort of threat that can result in the loss of capital to interested parties.

Contractual Risk : Due to a lack of legal foresight or expertise. Contract negotiation is

frequently the most difficult aspect of meeting planning. Some suppliers have been known to
take advantage of inexperienced planners, creating imbalanced agreements with hefty
nonperformance penalties. On the other side, when a corporation lacks monitoring for meetings,
it permits people to commit hundreds of thousands of dollars to which they are not permitted to
contribute. Every contract contains four strong protection clauses: cancellation, attrition, force
majeure, and indemnification. To reduce contractual risk, a firm must drive at least a portion of
the contract process.

Branding & Public Image: Without sufficient oversight, businesses may discover meeting
activities that do not correspond with current company messaging or are completely unsuitable,
either financially or in terms of substance. The first stages in reducing branding and public
image hazards are meeting awareness and consistent approval processes. A review of meeting
materials for branding and messaging may be required, especially for organizations subject to
regulatory authorities. If media attention has become a concern for the company, meeting
regulations can contain guidelines for how to keep events low-key, such as avoiding displaying
logos or public signage at the meeting place. It is critical to explain and enforce these policies.

Payment: Human error and/or purposeful fraud are possibilities. Examining meeting payment
reveals a complexity of unmanaged systems. Corporations may find meeting purchases on
travel and entertainment credit cards, purchasing cards, individual purchase orders, and even a
meeting planner's credit card. There are technologies available on the market to assist
organizations in controlling the meeting payment procedure. The meeting card will assist
organize data by breaking down transactions into line items. Meeting cards can be used in
conjunction with other meeting management technologies to automate payment procedures,
verify budget adherence, and track enterprise-wide meeting expenses. The usage of a meeting
card or another method of payment should be established by the needs of the firm. Whatever
decision is made, the policy must state which payment system will be used for meetings, define
the payment process, and distribute this information to all meeting planners. Consistency is
essential for gaining and keeping control over meeting expenses, as well as avoiding the
dangers associated with a lack of payment oversight.

Safety & Security: Safety and security may be the most visible of all the dangers associated
with meetings. Natural catastrophes, political turmoil, communicable disease, and terrorist
operations have all affected and will continue to affect meeting groups in the past and will
continue to do so in the future.