How do you manage risk?

[Liybpg]

I was wondering how everyone manages their risks.
Do you use special software?
Self-made reports? (e.g. excel/word)
What kind of software did you find useful?

My purpose is to create resource utilisation and risk management for my team.

 

[K2012]

What kind of risk, what sector etc.

 

[itsamp]

Risk Management is a topic people can get tied up in knots with. Having worked extensively with risk for the public and private sectors I am a firm believer if carried out correctly it will certainly save a business money and time.

You need to ascertain the key elements that pose the biggest risk to your business then start with those. Generally the first place to look is at your infrastructure and biggest asset your staff.

 

[Kernowman]

Well if you really do need a computer with some software to determine risk, then you really are heading for disaster.

 

[akirk]

depends on the risk...

risk of non payment against invoices - yes we use our internal software to show MI on clients - e.g. when they are paying (how long post invoice) etc. - so a computer there has its uses

however, for other risks - a bit of paper and a board meeting seems to work

Alasdair

 

[Liybpg]

It is for a big company, for a threat coordination team. They need risk processes, so piece of paper won't really work. I was curious to see whether anyone knows any good risk management systems out there which I could have a look at.

I appreciate that for a small business you may not need any software, but for some, formal process is much easier that to keep everything in somebody's head.

 

[akirk]

I think that it would be useful to know what exactly they will need to do...

risk management usually seems to be run through word documents

so, agree collaborative software in that situation might be good, but knowing a bit more about how they would wish to use it might help suggest ideas...

Alasdair

 

[Liybpg]

akirk,

I wish I knew. I am joining their team in a month or two and the implementation of risk process is my first task. In my current role we manage risks through project management software, not sure if that is the best approach for them. Also it seems that parts of the team are all over country (Bristol to Edinburgh), so piece of paper wouldn't work for sure.

 

[akirk]

I would just google Risk Management Software - there is a lot out there...

Alasdair

 

[Liybpg]

Thanks, I have done that. Just wanted to see how real people manage risk.

 

[akirk]

word documents seen it done in small companies and multi-million / billion pound companies...

Alasdair

 

[Probafix]

One of the biggest enemies of small business is unacceptable risk. Many business owners can't identify the risks they face and can't evaluate the danger the risks pose for the survival of their business. As a result, they don't take risks which are quite manageable and which would probably give beneficial results while accepting risks which could be fatal.

 

[ChrisBD]

There is a lot out there written on the issue of business risk; although it can be a complex subject. Not only are risks different but based on how a company operates will determine the risk methodology used.

There is nothing wrong with planning RM (SRM, BCM etc) using Word; its simple and works; and that above almost anything else is what counts when dealing with the 4 T's.

How a brokerage firm assesses and manages risk and what processes they use may be similar to a insurer or finance house, but will likely be a world away from the way in which a food processing company or hoter would do the same. Swanky software v's Word.

If the OP wants some specific pointers, feel free to PM me; happy to point in the right direction FOC.

 

[Cathy Duncan]

When it comes to the management of risks, we use to facilitate our employees because employees are the driving forces for any business. Besides, we revise our plans and strategies according to the changing situations and scenarios. May be that’s the possible reason, we never had even a single chance to face risks.

 

[vvaannmmaann]

OP,also remember the possible need to store "file backups" off site.Are you also required to plan for flooding,fire or other disasters?

 

[Astaroth]

word documents seen it done in small companies and multi-million / billion pound companies...

Really? Policies naturally fit in Word documents but actual risk management (excluding things like credit risk that do tend to be done through specialist software) I've always seen in Excel given its easier to sort, can use conditional formating etc etc

 

[ChrisBD]

OP,also remember the possible need to store "file backups" off site.Are you also required to plan for flooding,fire or other disasters?

This is where the relationship between BCM, EMP, SRM and risk management (as a management function) come into play.

RM as a stand alone function does not look to remidy or plan for such eventualities, mearly to identify them by way of RA and matrix.

If the OP is tasked with taking this holistic look then I suggest readings on BCM be more appropriate; the Continuity Central blog / site is very informative as is the book The Definitive Guide to BCM (Hiles et al, 2007)

 

[Wholesale-Suppliers]

I have different policies for different type of risks

 

[ChrisBD]

I have different policies for different type of risks

....and thus procedures also, I would guess?

Policy documents relating to risk tend to be pretty uniform; it is the procedure documents relating to actions and measures to mitigate the risk and maintain operational effectivness and the sub strata of assets which are usually different or bespok eto the identified risk.

 

[ChrisBD]

Some links that may help the Op, and others:

http://www.theirm.org/publications/documents/Risk_Management_Standard_030820.pdf

http://www.hse.gov.uk/risk/fivesteps.htm

http://www.continuitycentral.com/

http://www.theirm.org/

http://www.thebci.org/

 

[filtuh.com]

There is also a risk management methodology called M_o_R which is in the same stable as PRINCE2 Project Management, MSP Programme Management and ITIL Service Management.

It's an OGC (Office of Government Commerce) product and as such probably half-inched from a dozen other sources and aggregated but may be worth a look. APMG administer it on behalf of OGC I believe.

www.mor-officialsite.com

 

[Liybpg]

OP,also remember the possible need to store "file backups" off site.Are you also required to plan for flooding,fire or other disasters?

No, I will need to implement risk management system for more specific risks to the team: so nothing like flooding etc, this is covered at a Group level. I think I will need to streamline our processes to the Group's processes, as it is no good to have 10s of different risk processes when it could easily be 1

All, thanks for your replies, I will have a look at the links - I'm sure that every software will help me to understand things to include in our process.

Should be fun, I've never done anything like this before.