Putting a Price on Influence: Integrating Public Affairs Risks & Opportunities into Financial Planning. The Internal Side of Public Affairs (36)

Alan Hardacre, PhD

Co-Founder Advocacy Academy, Advocacy Strategy

May 2025,

Public Affairs teams are often asked to demonstrate their value—but without financial integration, their impact often remains abstract. Meanwhile, organizations routinely model financial risks for supply chain disruptions, market shifts, and operational inefficiencies—yet Public Affairs risks and opportunities are rarely quantified, discussed or considered in the same way.

If we want Public Affairs to be taken seriously at the highest levels, we need to embed policy and regulatory risks—and opportunities—into corporate financial planning. Here are some ideas on how to do this;

1.    Quantify the Cost of Policy & Regulatory Risks

A potential policy change isn’t just a line in a government briefing—it can translate into real financial impact and if these risks aren’t translated into financial terms, they remain vague, sidelining Public Affairs from serious business discussions. Public Affairs must work closely with finance teams to put real numbers on potential regulatory outcomes.

2.    Treat Public Affairs Like a Risk Management Function

Companies invest heavily in risk management—but Public Affairs often operates outside that framework. It’s time to change that.

·     Embed Public Affairs risks in corporate risk registers.

·     Ensure policy risks are assessed alongside operational and financial risks.

·     Make Public Affairs a key input in scenario planning.

3.    Build an ROI Model for Public Affairs

One of the biggest challenges Public Affairs faces is the perception that it’s an intangible, relationship-driven cost centre. But just as marketing can quantify brand impact, Public Affairs can—and should—measure its ROI. The more Public Affairs translates influence into measurable business impact, the stronger its position inside the company.

4.    Increase Accountability & Impact

When Public Affairs risks and opportunities are part of financial planning, they become executive and board-level discussions—and that brings higher internal accountability and stronger business alignment.

If Public Affairs wants a seat at the table, it must speak the language of financial planning. Risks and opportunities must be modeled, measured, and managed—just like any other critical business function. In my next post I will look at the best ways to go about quantifying Public Affairs risks and opportuntities. If you want to discuss just DM me