Essay from the year 2010 in the subject Business economics – Business Management, Corporate Governance, grade: B, King`s College London, language: English, abstract: Risk management planning is undertaken to be able to identify the risks in a business, assess them, formulate strategies to mitigate the risks and monitor the resultant performance of the business. Preparing a risk management plan requires identification of potential risks to a business. This is done through understanding of the scope of possible risks which will be essential in developing a realistic, cost effective strategy for dealing with the risks. Assess the business need determine the risk. Risk assessment process is also essential and is done with proper knowledge on a business key services, staff, resources and major areas that could result to failure of the business. Risk management process will therefore involve systematic application of management policies, practices and procedures to all the tasks of establishing the context of business risks, identifying, analyzing, assessing, treating, monitoring and communicating (Culp, 2001). Each cycle in the process is vital since it contributes progressively to business improvement. This is through providing the management with greater insight into available risks and their impacts on operation of the business.
To best analyze the risks and come up with the best strategies we got organized into a team having a good understanding of the tasks and objectives of the area of the business that needed to be analyzed. The marketing activities of the business bring both success and failure to a business if not carefully undertaken. Our risk management planning process was to determine the various risks associated with a business marketing activities and come up with best ways to help the business solve them. Understanding the internal environment of the company was our first stage in the process. It involved getting familiarized with the risk management philosophy of the business and various integrity and ethical values including the business commitments to competencies. Also we looked at the organizational structure with how authority and responsibilities are assigned and various marketing standards.