Making the Most of Your Business’s Risk Management
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2020 Issue 2 |
THE
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key component of running a business is managing risk. By evaluating, updating and maintaining your risk management program, you can help ensure the safety of customers and employees and reduce the chances of your business experiencing a serious accident or a liability lawsuit.
Developing a Risk Management Program for Your Business A successful risk management program can protect your employees and customers from harm and your
organization from associated costs. Because of the program’s importance, your organization’s leadership should hold the responsibility of the risk management program planning. When implementing a risk management program, consider the following fundamentals: • State the reasons for having the program. These objectives will determine the depth and scope of the program’s development. • Write a policy statement and explain it to all employees. It should clearly outline the objectives and
demonstrate the intentions in achieving an effective program. • Assign responsibilities to all employees, as everyone should have some responsibility and involvement in the program. • Implement an efficient communication system, allowing quick contact to organization leadership, as employees likely have valuable insight. A review of the program’s results will also help identify areas that need modification. Completing these four fundamentals will establish a supportive foundation for other elements of your risk management
