mightymikerichards.com

Risk management process consists of several steps in which the earliest step is to identify potential risks occur that can jeopardize the achievement of company strategic objectives. As we know that the risks are events that can cause harm if it happens to a company. So the purpose of identifying risks is to identify and classify the risks that exist and what are anticipated to occur which may affect the company’s survival.

Therefore, to identify risk we can begin by identifying the sources of the cause of the problem or the problem itself:
• Analysis of the sources of the causes of problems.
Occurrence of problems can be caused because the internal risk factors
or external.

Internal risk factors are risk factors that occur in companies or projects that can be controlled by humans. Risk – the risk of this kind usually arise because of financial problems, organization, employee, workplace, product changes and other problems within the companies or projects that do not support the achievement of the expected. As a result, there was delay in project completion time, increased costs or disruption / interruption in cash flow. (Managementfile) – risk management process consists of several steps where the initial step is to identify potential risks occur that can jeopardize the achievement of company strategic objectives.

As we know that the risks are events that can cause harm if it happens to a company. So the purpose of identifying risks is to identify and classify the risks that exist and what are anticipated to occur which may affect the company’s survival.

Therefore, to identify risk we can begin by identifying the sources of the cause of the problem or the problem itself:
• Analysis of the sources of the causes of problems.
Occurrence of problems can be caused because the internal risk factors
or external.

Internal risk factors are risk factors that occur in companies or projects that can be controlled by humans. Risk – the risk of this kind usually arise because of financial problems, organization, employee, workplace, product changes and other problems within the companies or projects that do not support the achievement of the expected. As a result, there was delay in project completion time, increased costs or disruption / interruption in cash flow.
External risk factors are risk factors outside the control / control of people, such as activities in the money market / capital markets, taxation policies, changes in the environment / nature (weather), and others. When these risks occur, the most important is how to deal with it.
Examples of external risk factors in the development plan of a bridge linking Java and Sumatra islands is a powerful earthquake and tsunami, including one of the Sunda Strait area in the world that so often shaken by earthquakes. Therefore, the bridge must be built with a force that is able to withstand earthquakes and tsunamis.

• Analyze problems, for example leakage of confidential company information, work accidents, etc.

In general, there are several ways to identify risks, namely:
• Identification of risk based on the destination.
Establishment of a company would have a purpose. Thus, events that will lead to failure to achieve some or all of the goals the company will diindentifikasikan as a risk.

Example: Policy moratorium / suspension of new licenses over the function of natural forests and peatlands into Industrial Plantation Forest (HTI), which will take effect in early 2011 by the Ministry of Forestry for all industry sectors, ranging from agriculture, mining to forestry, can be identified as risks to be faced by the businesses in the area of oil palm plantations, mining and forestry that have been planned business expansion as their business objectives in the year 2010 until 2012, because with such a moratorium policy can make a failure to achieve some or all of their goals.

• Identification of risk based on the scenarios created in which scenarios are alternatives ways to achieve its goals. Thus, the events that trigger the occurrence of alternative scenarios that are not expected / outside the established firms can be identified as a risk

The results of risk identification is a list of risks. What will be done against the risks that have been registered with it depending on the nature of those risks.

Risk identification process
The identification process depends on the type of projects being handled and the capability / expertise / experience of the risk management team tasked to identify risks

Risk identification process begins by collecting the events that could pose a risk to the company or a new project which will be developed / pioneered by the company. In general, most of the risk identification process begins by studying the issues and matters of concern to the project development team. Sample list of risks is the identification of management, organization, government regulation, third party, the economic condition of the company, the environment, and others.

After risks are identified, then the risks should be grouped into several groups of similar risk. Grouping of those risks in order to prevent repetition and assist management in the process of analyzing the risks.