Aon enhances reputational risk capabilities with acquisition
- Published: Thursday, 06 October 2022 07:58
Aon plc has acquired data and analytics capabilities for reputational risk from Pentland Analytics, a provider of advanced analytics and advisory services. The transaction, which is now closed, includes Pentland’s reputation crisis database, proprietary modeling algorithms and a cloud-based web app for clients.
The reputation crisis database Aon acquired is the leading global authority on the effect of sudden and unexpected events on shareholder value with data on 340 corporate events, spanning the last 40 years, across all regions of the world and all major industries.
“In our highly volatile world, organizations are increasingly exposed to the impact crises have on reputation and shareholder value,” said Richard Waterer, global risk consulting leader for Commercial Risk Solutions at Aon. “This acquisition builds on our previous work with Pentland to bring our clients insights and tools to better understand and prepare for the impact of reputational crises on shareholder value.”
For the last several years, leading businesses have identified ‘damage to reputation’ as one of their top risks in Aon’s Global Risk Management Survey and the acquisition demonstrates how Aon continues to invest in its capabilities to increase the firm’s relevancy and offer best-in-class solutions for its clients.
Since 2017, Aon and Pentland Analytics have collaborated to produce independent, universal, and industry-specific research focused on why some organizations succeed and emerge stronger after a crisis while others do not. The research has led to the thought leadership white papers – Respecting the Grey Swan (2021) and Reputation Risk in the Cyber Age (2018) – and industry-specific reports analyzing what makes businesses within given sectors more resilient, including for aviation and marine; energy; financial institutions; food, agribusiness and beverage; life sciences; technology; and the unique challenges presented by cyber risk.
“Aon and Pentland have a shared interest in understanding reputational crises to help organizations address and mitigate related risks. This acquisition is an exciting evolution of our relationship,” said Dr. Deborah Pretty, founder of Pentland Analytics. “Under Aon’s stewardship, multinational firms around the world will continue to receive insights and analytics on share price performance following reputation crises, and advice on how to drive favourable outcomes.”
Dr. Pretty will serve as a consultant to Aon during the transition of these assets, while continuing to operate Pentland Analytics, the independent firm she founded.