- "Risk management is the identification, evaluation, and prioritization of risks... followed by coordinated and economical application of resources to minimize, monitor, and control the probability or impact of unfortunate events or to maximize the realization of opportunities."
The process of identifying, assessing, and controlling risks that may affect the supply chain.
Risk identification: The process of identifying possible risks and threats that could affect supply chain management in the military.
Risk assessment: Determining the probability of specific risks occurring and their potential impact on the supply chain.
Risk analysis: Analyzing the likelihood and severity of potential risks and selecting the most significant risks for further evaluation.
Risk mitigation: Developing strategies and measures to avoid or reduce the likelihood and impact of potential risks.
Contingency planning: Developing plans to respond to unexpected events or disruptions in the supply chain.
Business continuity planning: Developing plans to maintain essential operations in the face of a crisis.
Supply chain visibility: Ensuring visibility and control of all aspects of the supply chain, including suppliers, logistics, and inventory management.
Supply chain security: Protecting the supply chain from potential security threats, such as theft, espionage, or sabotage.
Supply chain resilience: Ensuring the ability of the supply chain to continue functioning during adverse conditions.
Contract management: Developing and managing contracts with suppliers and other stakeholders in the supply chain.
Logistics management: Managing the movement of goods and materials through the supply chain, including transportation, warehousing, and distribution.
Technology solutions: Identifying and implementing technology solutions to improve supply chain management, including inventory management systems, logistics tracking systems, and risk management software.
Supply chain performance measurement: Developing performance metrics to measure the effectiveness of the supply chain and identify areas for improvement.
Resource allocation: Allocating resources, including funding and personnel, to support supply chain management efforts.
Stakeholder engagement: Engaging with stakeholders, including suppliers, customers, and government agencies, to ensure alignment and cooperation in the supply chain.
Strategic Risk Management: Strategic Risk Management involves identifying, assessing, managing, and monitoring all the risks related to the long-term goals of the organization. It includes analyzing the potential risks in the internal and external environments and developing strategies to mitigate them.
Operational Risk Management: Operational Risk Management involves identifying and managing the risks that arise during the day-to-day operations of an organization. It includes identifying the potential risks, developing strategies to minimize them, and implementing controls to mitigate them.
Financial Risk Management: Financial Risk Management involves identifying and managing the risks associated with the financial operations of an organization, such as investments, cash flow, and currency exchange rates. It includes developing strategies to minimize financial risks and implementing controls to mitigate them.
Information Risk Management: Information Risk Management involves identifying and managing the risks associated with an organization's information systems and data. It includes developing strategies to protect against cyber-attacks, data breaches, and other information security threats.
Project Risk Management: Project Risk Management involves identifying and managing the risks associated with a specific project. It includes identifying potential risks, developing strategies to minimize them, and implementing controls to mitigate them.
Supply Chain Risk Management: Supply Chain Risk Management involves identifying and managing the risks associated with an organization's supply chain. It includes identifying potential risks, developing strategies to minimize them, and implementing controls to mitigate them.
Safety Risk Management: Safety Risk Management involves identifying and managing the risks associated with an organization's operations, procedures, and equipment. It includes identifying potential risks, developing strategies to minimize them, and implementing controls to mitigate them.
Legal Risk Management: Legal Risk Management involves identifying and managing the legal risks associated with an organization's operations. It includes identifying potential legal risks, developing strategies to minimize them, and implementing controls to mitigate them.
Reputation Risk Management: Reputation Risk Management involves identifying and managing the risks associated with an organization's reputation. It includes identifying potential reputation risks, developing strategies to minimize them, and implementing controls to mitigate them.
Human Resource Risk Management: Human Resource Risk Management involves identifying and managing the risks associated with an organization's workforce. It includes identifying potential risks related to employment practices, developing strategies to minimize them, and implementing controls to mitigate them.
- "...risks (defined in ISO 31000 as the effect of uncertainty on objectives)..."
- "Risks can come from various sources including uncertainty in international markets, threats from project failures, legal liabilities, credit risk, accidents, natural causes and disasters, deliberate attack from an adversary, or events of uncertain or unpredictable root-cause."
- "Negative events can be classified as risks while positive events are classified as opportunities."
- "Risk management standards have been developed by various institutions, including the Project Management Institute, the National Institute of Standards and Technology, actuarial societies, and ISO standards."
- "Strategies to manage threats typically include avoiding the threat, reducing the negative effect or probability of the threat, transferring all or part of the threat to another party, and even retaining some or all of the potential or actual consequences of a particular threat."
- "As a professional role, a risk manager will 'oversee the organization's comprehensive insurance and risk management program, assessing and identifying risks that could impede the reputation, safety, security, or financial success of the organization'."
- "Risk Analysts support the technical side of the organization's risk management approach... analysts share their findings with their managers, who use those insights to decide among possible solutions."
- "Methods, definitions and goals vary widely according to whether the risk management method is in the context of project management, security, engineering, industrial processes, financial portfolios, actuarial assessments, or public health and safety."
- "Certain risk management standards have been criticized for having no measurable improvement on risk, whereas the confidence in estimates and decisions seems to increase."
- "Opportunities are uncertain future states with benefits."
- "See also Chief Risk Officer, internal audit, and Financial risk management ยง Corporate finance."
- "Risk managers develop plans to minimize and/or mitigate any negative (financial) outcomes."
- "The primary goal of risk management is to minimize the probability or impact of unfortunate events or maximize the realization of opportunities."
- "Risk evaluations are conducted to assess and identify risks that could impede the reputation, safety, security, or financial success of the organization."
- "Managers use insights from risk analysts to decide among possible solutions."
- "The main components of risk management include the identification, evaluation, and prioritization of risks, followed by the application of resources to minimize, monitor, and control the probability or impact of events."
- "Negative consequences of threats can include financial, reputational, safety, security, or operational impacts."
- "ISO standards provide quality management standards to help work more efficiently and reduce product failures."
- "Negative events can be classified as risks while positive events are classified as opportunities."