Risk Management Strategies Essay - 2593 Words

Introduction Financial or technical, commercial or legal, the risk can affect an organization at any given time. Operations and compliance along with laws and regulations input by an organization have an important role in controlling the factor of risk within a project. As Pinto (2013) well noticed, projects tend to operate in an environment composed of uncertainty. There are projects that succeed and others that fail. The difference between these two types of project is given by the plan developed as well as the level of risk. More so, in the event in which the critical path for a project has a high level of risk, the way the resources are used once the risk factor was identified becomes crucial for the success of the project. Risk†¦show more content†¦Considering that health care companies are evaluating operational efficiencies, meeting their expenditures can help the healthcare organizations survive on the long run. (Hall, n.d) The risk management strategies are presented easily with the help of an important tool, the risk matrix. There are people that are willing to take a high level of risk while others are not ready to risk anything; unless they are reassured that nothing will go wrong. According with Onkuwa (2010) this group of people is interested more in preserving capital and reputation. They are unlikely to take an unacceptable level of risk for high gains. Regardless of the type of risk taker one is, having a method of determining and estimating the level of risks is crucial in any business and organization. Different levels of risk have different approaches and handling strategies. Critical Path at Risk According with Pinto (2013) the risk management is a four-stage process. The first step in the process is represented by the risk identification. In this step, the critical path is identified and any risk associated with it that might occur in the life of the project. Any delay in the critical path can have high impact on the final result of the project. This is why the project managers are looking to determine the specific risk factors that are expected to affect the project. A close monitoring of the project’s progress can offer a betterShow MoreRelatedA Comprehensive Risk Management Strategy1541 Words   |  7 PagesA comprehensive risk management strategy addresses items such as: (1) The scope of the risk management effort, (2) Methods and tools to be used for risk identification, risk analysis, risk mitigation, risk monitoring, and communication, (3) Project-specific sources of risks, (4) How these risks are to be organized, categorized, compared, and consolidated, (5) P arameters, including likelihood, consequence, and thresholds, for taking action on identified risks, (6) Risk mitigation techniques to beRead MoreRisk Assessment Methodologies And Risk Management Strategies888 Words   |  4 PagesRisk Assessment Methodologies Risk assessment is a key component to Risk Management strategies. If this assessment is ignored or not done correctly, vulnerabilities can be overlooked or not addressed at all leaving systems exposed. 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