Risk Management – Is Risk Possible?

A company of all sizes and shape faces a number of risks to the achievement of their goal. The globalization of the supply chain, in particular in the pharmaceutical, electronics and food industries, shows a number of examples of the unfortunate consequences of proper risk procedures. Although "risk" is generally considered negative (as opposed to positive connotations), risk management should take advantage of potential opportunities and prevent potential problems. The BS 31100 is a reliably new framework that helps companies understand, develop, implement, and maintain effective risk management in order to increase the organization's ability to achieve its goals successfully. My business is for senior executives of companies to examine whether to go to the BS 31100 Practical Code of Conduct or to approach accidental risk management to encourage them to personalize this discipline and involve it as part of everyday thinking . Simply put, risk management is an essential element of good management rather than accidental access.

Process Risks

If we take into account the process risk assessment, a basic logic can tell us that if all inputs are verified and the process is fixed, the outputs should be as expected. Here, the elimination of risk is about process control. However, there is a risk that business elements will be individually examined, the objectives for isolated areas will be applied and addressed with the best of what is to be done, a box that is designated in one area, the worst being the disturbance of services, profit) in other areas. The 2008 headline title: "A & E patients remain in ambulances so courage can meet government goals." People were held for hours on hospitals' ambulances and were not allowed until they could handle the Labor Force Claim within four hours in A & E. Suspensions were reported that ambulances were not available to receive the fresh 999 calls. Enclosing boxes in a separate area of ​​customers "experience ignores the vital interconnections that are necessary for the organization's development. Conversely, we can examine the ability of the process: how will the process better achieve a better user experience, how to minimize negative risk and not it is easy to understand that the systems are the sum of mutually dependent parts and effects and that one of them is to change the (so-called) isolation of one another in fact, to create an imbalance that can have disastrous effects

Risk to People

Risk management also addresses risks to people. It may be rational but achieving clear objectives, targets, timetables and reward systems in the banking system led to the worst recession in the lead. This is because processes rely on human relationships: people buy people: profit comes from people: we need people's cooperation to blossom the business. Even with such clear points, both big and small companies make a mistake by paying too much attention to financial goals at the expense of their connections throughout the supply chain. This is even more serious in times of recession when relationships need to be nurtured as customers continue to make emotional decisions via the entire value chain.

Such a big company is Toyota, which H Thomas Johnson, professor at Portland State University, commented: "The reversal of Toyota's foresight in the past decade suggests that most drivers have lost their mindset, the company behaves like a living system "- He told. Instead of fostering relationships, citizens followed their policy of pursuing financial goals. The result? After 50 years of profit, Toyota has recorded annual losses in the past 2 years.

Recently, experience with companies using different Lean or Process technologies has been experienced to reduce costs, reducing staff costs. It was not unexpectedly motivated to see, and goals and goals were everywhere. For me the focus of risk management is Process Capability and Human Motivation on both sides of the same coin. Our business is a live system, not a grouping of individual activities. The ability of the process and the motivation of people should first be focused on the customer's benefit rather than short-term, unrelated financial goals. I hope I have demonstrated that risk management will be a key part of the CEO's life. I'm happy to repeat that risk management is an essential part of good management. At MA Consulting International, we can also support businesses through risk management, through auditing, coaching and mentoring, and with a well-trained team of professionals.

Source by sbobet

Leave a Reply

Your email address will not be published. Required fields are marked *