RISK MANAGEMENT – INDENTIFYING, ASSESSING AND RESPONDING TO RISKS

Abstract

Risk has been one of the key concepts studied in economics. Famous authors have identified the main difference between risk and uncertainty. The main factor is that in some cases the risk can be measured, in other cases – not. It seems that a measurable uncertainty, or “risk” itself, is not an uncertainty at all. We could associate crisis management with uncertainty while risk management is a quantitative approach to measure and assess the exposure to known events and probabilities. The aim of this article is to offer a better understanding of how should be risks identified, assessed and responded efficiently and effectively.

Keywords

• risk response
• risk management
• risk assessment
• enterprise restructuring
• ISO 3000 standard