Strategic Expenditures (StratEx)

Strategic Risk Management
Knowledge Center

Best Practices
John Gross, USA

Strategic Expenditures (StratEx)

A useful recommendation by Robert Kaplan and David Norton is to create a new expenditure category to protect strategic investment projects and assets from slash-and-burn cost cutting exercises during the economic downturn: "Strategic Expenditures" or "StratEx". In this way, long-term strategic initiatives or programs can be protected when operational inefficiencies have to be rooted out.
Source: HBR December 2008, p.28

  David G Wilson, Scotland
 

StratEx

In the modern world of economic downturn and business speak such a simple (dare I say common sense!?) solution could be a means of managing that particular and very real risk.

  Mario, Italy
 

StratEx Additional Expenditure Category

Thank you John for sharing this indeed practical tip from Kaplan and Norton. This idea will be useful for current as well as future cost cutting periods.

  Sekar Vedaraman, India
 

Limitation of Strategic Risk Management

We can avoid, control, mitigate, eliminate, or overcome the risks which we can foresee. But when an unforeseen "Black Sw...

 

More on Strategic Risk Management:
Summary
Forum
Enterprise Risk Management versus Strategic Risk Management
Strategic Risk Identification and Mitigation in Banking
SRM Experiences and Results
🔥Does Risk Management Increase Strategic Risk?
How to Manage Unavoidable Risk
Strategic Risk Management in Agri Business
An 8th Class of Strategic Risk?
Involve SRM when making Strategic Decisions
Classes of Political Risk. Types
ISO 31000 on Risk Management
Opportunism in Risk Management
Strategies for Investment Risk Mitigation
Risk Management for Beginners
Go find Risks... Embracing Risks
SRM for Central Banks?
Best Practices
Current Economic Conditions and Strategic Risk Management
The Organizational Drag of Risk Management Must be Diminished
👀Strategic Expenditures (StratEx)
Special Interest Group

Do you have a keen interest in Strategic Risk Management? Become our SIG Leader

Strategic Risk Management
Knowledge Center



About 12manage | Advertising | Link to us / Cite us | Privacy | Suggestions | Terms of Service
2022 12manage - The Executive Fast Track. V15.8 - Last updated: 5-7-2022. All names of their owners.