|
CONCEPT We at IRIBL use the process of measuring, or assessing, risk and
developing strategies to manage risks for our clients.
STRATEGIES OF RISK MANAGEMENT
Transfer of Risk to Another Party Transfer of risk to another party by taking insurance coverage
against the same. Thus the client can avoid the risk by paying a small
premium.
Reduce the Negative Effect of The Risk
Reduce the negative effect of the risk by taking risk prevention or
risk containment measures. This can be done by applying the appropriate
risk containment measures. Accept Some or All of The Consequences Accept some or all of the consequences of a particular risk by resorting
to self insurance. In our process of risk management, a prioritization
process is followed whereby the risks with the greatest loss and the
greatest probability of occurring are handled first, and risks with
lower probability of occurrence and lower loss are handled later. Risk management as followed by us lays a great emphasis on the concept
of opportunity cost. Resources spent on risk management could have been
spent on more profitable activities. Thus in our process of risk
management emphasis is laid on minimizing spending while maximizing the
reduction of the negative effects of risks.
|
