What is Risk Management?

It’s the obvious question, and the answer is as powerful as it is simple: For better business performance. The business case for organisations to embrace risk management is stronger than ever before.

Applying risk management to your business projects and programs allows you to:

  • Allocate resources to the things that can have greater impact on delivery
  • Secure more repeat business or new business from existing customers
  • Minimise contingency: efficient costing, scheduling and allocation of manpower
  • Choose to compete on price, invest or take profit
  • Increased confidence leading to:
    • Increased share value
    • Improved credit ratings: Standard & Poor’s, the rating agency, now tracks risk management capability as part of its ratings assessment
    • Reduced business insurance costs

Embedding enterprise risk management in your organisation will help you to:

  • Improve predictability of profit and timescales
  • Protect and improve your reputation by consistently delivering on time and on budget
  • Become a supply chain champion
    • Your customer knows their supply chain is only as strong as its weakest link. By demonstrating risk management capability, you won’t be that weakest link