Corporate Resilience in the VUCA Era: Integrated Approaches to Risk Management and Asset Valuation

The VUCA era–characterised by volatility, uncertainty, complexity, and ambiguity–demands that businesses move beyond conventional risk management and valuation practices. Professor Keiji Murakami, Graduate School of Management, Ritsumeikan University, addresses these challenges through a multifaceted research agenda integrating finance, risk management, and digital innovation. Murakami has conducted in-depth investigations into the vulnerabilities of global supply chains exposed by the COVID-19 pandemic and the Russia‐Ukraine war, focusing particularly on the semiconductor industry. His findings suggest that while supply chain localisation enhances resilience and national competitiveness, it is most effective when combined with diversification and strategic expansion. To that end, he proposes an integrated framework for corporate decision-making that blends proactive preparation, rapid response, and post-crisis improvement. Beyond supply chain resilience, Murakami applies advanced financial models–including real options analysis, the capital asset pricing model (CAPM), and modern portfolio theory–to evaluate and optimise the value of resource and non-resource businesses. This approach addresses emerging risks posed by decarbonisation, geopolitical tensions, and market interdependencies. In collaboration with Kyoto-based ventures, Murakami is also pioneering research in digital asset valuation using 3D technologies. These efforts aim to support more accurate and data-driven assessments of industrial facilities, particularly in the context of mergers and acquisitions. By bridging theoretical rigor with practical innovation, Murakami’s work offers a robust roadmap for enhancing corporate resilience and value creation in an increasingly unpredictable world.