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Jan. 16, 2014

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Mitigate risks in your supply chain
By Sasha Viasasha
If there were no risks, there would be no rewards. Yet customers do not pay for explanations. They demand a steady supply of goods no matter what your individual risks are. Although risk is just part of the equation when it comes to logistics, successful companies are able to minimize risks by planning for the unexpected. From weather to world events, there is a great deal of volatility at every step along a complex supply chain. Here is a breakdown of how to identify those risks before they arise, how to assess their impact and ultimately how to overcome them.
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5 risk management tips for the food industry
Food Processing
It takes attention to many details to create a profitable food business, including the freshness of ingredients, the right equipment and a dedicated, service-oriented workforce. Even with these ingredients in place, though, an accident, a lawsuit, an act of nature or a deliberate act by a disgruntled ex-employee can destroy a business. Businesses that are protected against such risks are more likely to succeed long-term.
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Privacy issues in the workplace
Vidette Online
With the rapid increase of social media, many young people have been warned about posting inappropriate photos or updates that could prevent them from getting jobs. It is almost guaranteed that potential employers will do Internet searches on applicants now, and that is perfectly understandable. However, some employers go even further. According to a USA Today article, some will ask for interviewees' usernames and passwords in order to really see what they post online.
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Missed last week's issue? See which articles your colleagues read most.

    Era of continual risk assessment (The Wall Street Journal)
Workaholics suffer withdrawal symptoms when cut off from the Internet (Business Insider)
Supply risk management: Mapping results, identifying root causes (Spend Matters)
Is severance pay subject to FICA? (Human Resources Executive Online)

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Changing the menu
Human Resource Executive Online
A combination of the 2012 fee-disclosure rules from the Department of Labor and lawsuits filed by defined-contribution-plan participants is leading a growing number of organizations to benchmark the costs of their defined-contribution plans and sharply scrutinize the investment options within those plans. The goal is to not only comply with the rules and stay out of hot water, say experts, but to also give employees a better shot at having enough saved for retirement.
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Be careful when using unpaid interns
By D. Albert Brannen
The federal Department of Labor's Wage and Hour Division has become much more aggressive in identifying and seeking damages against employers who fail to pay interns for the work they perform. Under the Fair Labor Standards Act, covered, nonexempt individuals who are "permitted" to work must be compensated for the services they perform for an employer. Unless an internship in the "for-profit" private sector meets a set of six criteria, the internship will most often be viewed as employment.
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Top 10 corporate risks in 2014
Insurance Journal
Business interruption and supply chain, natural catastrophes and fire/explosion top the list of company risks in 2014, according to the third annual Allianz Risk Barometer, which surveyed over 400 corporate insurance experts from 33 countries. Allianz suggests that companies can respond to these growing challenges through stronger internal controls, combined with a holistic approach to risk management.
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Do your tweets qualify as intellectual property?
Ragan's PR Daily
A recent case involving a New York Times movie critic brings the issue into question, and the journalism world mostly agrees on the answer.

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Deep freeze puts $5 billion chill on economy
NBC News
The record cold spell that has half the country in the deep freeze could cost the U.S. economy up to $5 billion.

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Including sustainability in the risk framework
By Dr. David Hillson
Sustainability has become increasingly important to organizations across the world in recent years, as both a business objective and a necessary constraint.

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Hot demand for emerging-market bonds
The Wall Street Journal
Emerging-market governments around the globe are selling bonds at the fastest pace on record, highlighting that demand for such debt remains robust despite a turbulent six months that left many investors scampering for the exits. Since the start of the year, emerging-market sovereigns have sold almost $19 billion of bonds, three times what was sold at this stage last year and the fastest start to the year since Dealogic started compiling records in 2000.
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Best practices for setting reasonable compensation for small business owners
Accounting Today
Small businesses, generally those organized as S corporations or partnerships, can run afoul of IRS guidelines governing "reasonable compensation" for individuals who are both owners/shareholders and employees of these companies. Traditionally, compensation issues have arisen when the IRS has challenged "excessive compensation" with owners of regular "C" corporations. Increasingly, however, compensation issues are arising with small businesses operated as so-called "flow-through entities" and not when an owner/employee's salary is too large, but when it is too small.
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Colby Horton, Vice President of Publishing, 469.420.2601
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Lisa Smith, Senior Content Editor, 469.420.2644 
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