Risk Management

• Risk management


  Process to identify, evaluate, and understand the risk of business actions and decisions in order to minimize, control, or eliminate the impact of unacceptable risks.
• Contingency Plan


  A prepared course of action designed to help a business respond effectively to a future event or circumstance that may or may not happen.

  A documented contingency plan means business owners, managers, and employees have considered and prepared for future events or circumstances that may significantly impact on their business.
• Prevention Preparedness Response Recovery (PPRR)


  A model used to minimise losses in an incident and anticipate direct impacts to the business
• PPRR Steps

  • Prevention
  • Preparedness
  • Response
  • Recovery
• PPRR - Prevention


  Take actions to reduce or eliminate the likelihood or effects of an incident.
• PPRR - Preparedness


  Take steps before an incident to ensure effective response and recovery.
• PPRR - Response

  Contain, control or minimise the impacts of an incident.
• PPRR - Recovery


  Take steps to minimise the disruption and recovery.
• Two areas to consider with Risk Management

  •  Probabilities of implications from the activity
  • Actual consequences should something go wrong
• Seven Stages of Risk Management Process


  1. Establish context
  2. Identify potential risks
  3. Assess possible severity
  4. Analyse the possible risk treatment options
  5. Create a risk management plan
  6. Implement and follow a risk management plan
  7. Review and evaluate the effectiveness of the plan, amending where necessary.