Risk Management strategy reaps hit to reputation

In 2001, James Hardie Industries, the an Australian based manufacturer of building products, faced a crisis related to its asbestos products that were very dangerous to the people who used them. When the full extent of the potential financial compensation for victims became known, the board of directors decided to engaged in a corporate restructure that involved the incorporation of the company in a jurisdiction that was most favourable to their operations and profitability. The shareholders (90...

BPIR Categories

2.5.4 Identify and manage risks
13.8 Manage legal and ethical issues
2.4.1 Design the organisational structure