Business & Finance

Capital risk is where an investor takes his or her funds and takes a certain amount of event risk. This can be very risky and can end with one of two ways: a profit or loss. The investor takes the risk of losing part, or even the entire principal amount that he or she invested. Capital risk management can keep losses like this from happening, or at least reduce the risk.Capital risk management tries to reduce the risk from potential losses. There are two types of investment options that may be included with capital risk management. The “Put” option is where a capital investment is established, and trading prices are locked in if the investor chooses to sell. The “Call” Continue reading…

Risk management in hospitals now has to include what insurers refer to as preventable conditions such as bedsores and since October 2008 have refused to reimburse hospitals for the treatment of this ailment.

There is always a risk involved in running a company. There is always a possibility of running into losses in a business. Risk to a large extent can prove fatal at times to a business when things go awry and low chance may also prove costly as a lot of amount has to be spent in limiting chances.Risks significant in nature are often ignored or kept hidden by corporations. The best way to assess these hidden or ignored risks is the survey of the managerial level people and the staff professionals hired by the organizations. There is a survey called Business Risk Assessment survey which collects the relevant information of the company including the possible unforeseen risks or the threats Continue reading…

A lot of hospitals are now engaging their employees into getting risk management certifications that they can then use to better manage risks in their hospitals. In order to understand the need for and the importance of such a certification in the healthcare industry you need to first understand what does risk management signify.Risk management means firstly the understanding of risk. Next comes the prioritization of risk which is in turn followed by the efforts to reduce and control the probability of risk by applying all the possible resources at one’s disposal. This technique helps mitigate risks and hence safeguards a business.In most healthcare organizations, the major area exposed to risk is the financial liability that arises from misconduct of Continue reading…

Every business carries an element of risk. Therefore, managing risks is crucial process in many organizations. Depending on the business, steps can be taken to reduce the frequency and intensity of risk. Risk management is a process or group in an organization that takes management action to reduce risk. This activity involves the process of measuring and developing strategies to manage the risk. The strategies employed include transferring the risk to another party, avoiding the risk, reducing the negative effect of risk, and accepting some or all of the consequences of a particular risk.There are two kinds of risk management. Traditional risk management is focused on risks stemming from physical and legal causes like natural disasters, accidents, death or lawsuits. Continue reading…

A foolproof way of improving the profitability of a business is by improving the skills of employees, or hiring those who possess the required skills.There is a firm called Business Risk Management Ltd (henceforth to be called BRM) that can help businesses identify and manage the important risk factors in their business. They accomplish this using various methods like organizing workshops that gives companies the freedom to evaluate the key risks within the operations of the company rapidly and with resounding success.Among the services rendered by BRM include: the evaluation of individual risks is done with the aim of determining the effect it will have on a business and the likely manner this will happen. Risks that are classified as Continue reading…

Risk Management is the process of measuring, or assessing risk and developing strategies to manage it. Strategies include transferring the risk to another party, avoiding the risk, reducing the negative effect of the risk, and accepting some or all of the consequences of a particular risk. Traditional risk management focuses on risks stemming from physical or legal causes.Financial risk management, on the other hand, focuses on risks that can be managed using traded financial instruments. Regardless of the type of risk management, all large corporations have risk management teams and small groups and corporations practice informal, if not formal, risk management.An ideal risk management starts with establishing the context, inclusive of the identity and objectives of stakeholders, the basis upon Continue reading…

Risk management?What do I mean by risk?Simple, something that impacts the smooth running of the project.Imagine you go to site as usual with your day planned out, with work that will be achieved during the day. On your arrival you are met with one or more of the following: The quantity surveyor has made an error of judgement and something shown on the drawing doesn’t fit. The designer has drawn a ‘hop-over’ step on the roof for access over a duct, but the duct is a metre tall and there’s no space for proper steps. The floor tiles specified on the drawing, that have just turned up, don’t conform to the customers latest grip / slip standards. There are tolerance Continue reading…

Despite countless events and incentives to change, a startling number of companies are still behind the business curve with regards to their risk management. In much the same way a train travels on a set track that has been planned, surveyed, laid and maintained for predictable routes between key locations it doesn’t permit for deviation or adaptability. Given a large enough obstacle it can even be derailed, damaging the train, goods, passengers and requiring major repairs before service is returned. Shareholder value may be affected and the reputation of the company called into question. While the business demands swift and timely movement between locations, the business decision making process is likely to be much slower than the business operation.Enterprise resilience Continue reading…

IntroductionThis manual is written to advise on an approach to managing risk, with regards to procedures to follow in conducting risk analyses and treatment.Background of my OrganisationI will focus my attention on the management of risks for my company in general. My company is involved in the trading of steel products, mainly for construction purposes, as well as the sales and purchases of agricultural products such as beans, maize and rice. With regards to these products, letters of credit (LCs) have to be initiated regularly for such products to be sold overseas. As part of the accounting and finance function, my responsibilities are not only in the proper accounting treatment of such transactions, but also as part of the team Continue reading…