RISK MANAGEMENT can be explained as a management function the object of which is the protection of people, assets and earnings by avoiding or minimising the potential for loss from pure risk, and the provision of funds to recover from losses that do occur. Risk Management involves the systematic identification, evaluation and control of all identified potential losses.
The aim of Risk Management is to develop a structured way of identifying and assessing the probabilities and consequences of risk, and selecting appropriate risk strategies to reduce the probability of, or losses associated. Moreover, analyse risk can provide decision support by systematization of knowledge to describe/express risk and how to mitigate the risk. Continue reading