What kind of risks are there?
In fact, there are too many risks to list. That could even make you anxious. No need to be, because not all risks are common and you can take measures. But we would still like to mention a number of important risks a company faces:
- Fire and water damage
- Liability for products or actions of employees
- Machinery downtime
- Fraud and cyber risks
- Insolvency of buyers
- Political risks in specific countries where you do business
- Environment
- Economic
- Succession of owners
- Occupational disability
- Legislation and taxation
- Increasing competition
- Technological development
- Compliance
Risk management process
Risk management is a structured way to better manage risks, it is a process you need to pay constant attention to and ask for. These steps will take you a long way:
- Appoint risk management manager within company
- Identifying the risks faced by the company
- Analysing and prioritising these risks
- Drafting measures to mitigate risks
- Implementing relevant measures
- Periodically check whether measures are effective and make adjustments
Risk management is therefore a continuous process involving all layers and departments of a company. The most important thing is that all employees of a company are aware of the risks that may arise and actively deal with them. A business life without risks does not exist, a business life with manageable risks does!
