Risk is an uncertain event or set of events which, should it occur, will have an effect on the achievement of objectives.
Risk management is a systematic application of principles, approach and processes to the identification and assessment of risks and then planning and implementing risk responses. This provides a disciplined environment for proactive decision making.
Decisions about risks vary depending on whether the risk relates to long, medium or short-term goals.
Strategic decisions are primarily concerned with long-term objectives. The risks associated with strategic decisions may not be apparent until well into the future. These should be examined and reviewed on a regular basis.
Medium-term goals are addressed by programs and projects to create change and. Decisions relating to these medium-term goals are narrower in scope than strategic ones, particularly in terms of timeframe and financial responsibilities.
Operational level decisions emphasise on short-term goals and continuity of business services. Decisions about risks at this level must support medium and long-term goals.
MakroNorm consultancy and training courses on risk management, in particular M_o_R (Management of Risk ) Risk Management training gives you the understanding principles, approach and processes for managing your organisation’s a long, medium and short -term risks.