International SOS has released its 2025 Risk Outlook survey-based report. Overall this shows that 65% of senior risk professionals perceive that risks have increased over the past year.
Geopolitical tensions: a complex and escalating risk
Geopolitical instability ranks as a top concern for organizations heading into 2025, underscoring the fragility of a deeply interconnected global landscape. Businesses are now contending with an environment where conflicts are not confined to political borders but reverberate across industries, economies, and supply chains.
- 75% of respondents who are primary decision makers think political and social unrest and protests are likely to have a significant impact on their business and/or people in the next 12 months.
- 74% of surveyed primary decision makers also express the belief that geopolitical tensions are likely to have a significant impact on their business and/or people in the coming year.
- 73% of surveyed primary decision makers highlight their belief that transport risks and disruptions are likely to have a significant impact on their businesses and/or people in the next year.
The risks are manifesting in varied and often overlapping ways. In Europe, the conflict in Ukraine has destabilised energy markets and fractured political alliances, creating ripples across the continent. In the Middle East, the ongoing crises are intensifying polarisation.
Mental health and burnout: the hidden costs of a fragmented world
The increasingly volatile geopolitical landscape is having a profound impact on mental health with 65% of participants predicting that political stress and anxiety will have a significant impact on their business and/or people in 2025. These pressures are compounded by broader wellness risks that the following percentage of surveyed experts predict are likely to have a significant impact on their business and/or people over the next 12 months:
- Stress and burnout: 78%
- Impact of the cost-of-living crisis: 75%
- Mental health conditions: 70%
- Quiet quitting: 52%
- Climate change anxiety: 45%
The seemingly unstable, unpredictable and uncontrollable nature of global events, coupled with the cost-of-living crisis, are major factors contributing to employee stress and burnout. Businesses that proactively invest in employee wellbeing are building operational resilience. Creating a healthy workplace includes protecting and promoting mental health, which will not only help employees weather these stresses but also drive higher engagement, productivity, and retention – essential for navigating a rapidly changing world.
Dr. Irene Lai, Global Medical Director at International SOS
Building resilience in a fragmenting world
Despite the many complexities and challenges that organizations face today, there are clear pathways to building resilience. According to the report, resilient organizations share three key characteristics:
Access to actionable intelligence: decision-makers need timely, relevant, and verified information tailored to their organization’s specific risks. This is critical in addressing misinformation and disinformation; 27% of participants reported that their organization has been impacted by misinformation, with a further 32% reporting being unsure if misinformation has impacted their organization – a potential blind spot.
Integrated risk management platforms: unified risk management systems streamline processes and enhance the productivity of risk managers. These platforms also enable seamless communication across teams, which can help leaders support their employees in when dealing with the impacts of risks such as extreme weather (49% of experts believe that the health impacts of natural disasters and extreme weather events will have a significant impact in 2025). By providing a single platform of reliable information, organizations can respond swiftly to both anticipated and unforeseen risks.
Optimised resource allocation: consolidating resources allows organizations to prioritise high-risk areas without overextending. For example, 64% of respondents highlight increasing employee expectations about Duty of Care. This finding makes it essential to embed proactive health, safety, and security measures into operations. These investments are vital to addressing current and emerging risks.
