Risk Assessment & evaluation;
Business is a process of evolution in new environment and its sustainability. While running a business an organization faces many challenges and Risk. A smart approach to combat the challenges and mitigate the Risk is to analyze its components and evaluation. Risk management is inherently a pro-active characteristic of a Manager.
Risk Management is a science as well as art. The science part involves identification, evaluation and prioritization of risks along with planned, organized effort to reduce, track and control the probability and impact of undesirable occurrence. The art part involves correct evaluation, prioritization and response planning. It is deliberate to mix science and art of risk management. The judgment of assessing & building response plan in its subjective part is an art but the systematic & repeated risk tackling approach with set of guidelines can evolve as a science, like project planning,
We at AIMA Management consultants with our core competencies provide in-depth analysis of an organization’s key strengths and opportunities with its relevant threats & weak areas by providing solutions to enhancing the strength and reducing weakness. This can be done on regular interaction with the organization’s resources. Our competent staffs take the assignment and study the key resources and analyze the up-coming situations devise a model by research and applicable plans to mitigate the Risk and its evaluation.
At a higher level, risk management involves
- Identification and recording of risk
- Evaluation of the possibility that can be attributed with the occurrence of risk
- Determine the vulnerable consequences that can be attributed to risk
- Identify strategies to reduce impact that may arise with occurrence of risks
- Prioritize risk reduction approach based on a strategy
- Assign resources to manage the risk in accordance with risk response plan
- Review & close the risk
For example in present situation due to COVID-19, all aspects of business have faced adverse impact which lead to threats and adversity, some organizations tuned themselves to combat the challenge! New market strategy developed for online sales and product display and orientation on virtual platforms.
The online platforms has been developed to portray the product, the organizations that have tuned themselves for this paradigm shift are moving towards goal seeking and target achievement. So this trend shows policy decisions to overcome the Threats by their Strength.