March 18, 2013
Risk management “is the process for identifying, assessing, and prioritizing risks of different kinds. Once the risks are identifies, the risk manager will create a plan to minimize or eliminate the impact of negative events” ("The Importance of Risk Management to Business Success", 2013). Depending on the type of risk there are several types of strategies available to manage them. There are three commons types of categories of risk and there are “personal (people assets), property (material assets), and liability (legal issues)” (Broder, 2006). Both personal and property can be affected by liability. Liability includes such issues like “errors and omissions, wrongful discharge, workplace violence, sexual harassment, and last but not least, what has become the biggest legal issue to plague the business community, third-party liability” (Broder, 2006). The issue of third-party liability brought about the “security expert witness” (Broder, 2006).
Planning for Risk and Identifying Resources.
The first step in planning for risk is to identify and classify your risks. You identify and classify your assets by asking certain questions like “what does the company own, operate, lease, control, have custody of or responsibility for, buy sell, service, design, produce, manufacture, test, analyze, or maintain?” (Broder, 2006). What kinds of exposure will your company be exposed to that could cause “damage, theft, or loss or property or other company assets or that could cause or contribute to personal injury of company employees or others” (Broder, 2006). You also have to determine what your losses are going to be based on what other companies have experienced.
Managing Risk and the Justice and Security Organization
Security professionals have several different techniques that help them to develop risk identification. They review a company’s “policies, procedures...