Assessing Risks
Business Risk is the threat that an event or action will adversely affect an organization’s ability to achieve its business objectives and execute its strategies successfully. This can be categorized into four main types:
Strategic Risks - Doing the wrong things.
Operating Risks - Doing the right things the wrong way.
Information Risks - Using inaccurate, irrelevant or misleading information.
Financial Risks - Losing financial resources or incurring unacceptable losses.
Risk management is not a process that is simply bolted on to existing practices. It needs to become an integral part of the ongoing management of an organization. To be effective it must be regularly reviewed to reflect the dynamic nature of the risk.
Accounts & Tax Consulting Services can help clients manage two key areas of financial risk: selling on credit and exposure to fraud. Risk Management forms an integral part of the management and governance process of your organization. A detailed risk management review includes:
- Identification of threats to your business
- Prioritizing the risks according to your objectives
- Recommending strategies to minimize your risk
- Risk mapping
- Development of risk register
- Regular monitoring of risks
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