Daffodil International University
Faculties and Departments => Business Administration => Business & Entrepreneurship => BBA Discussion Forum => Topic started by: bidita on November 10, 2010, 05:24:08 PM
-
Managing risk is a central part of many corporate strategies. Reputations that take decades to build up can be ruined in hours through incidents such as corruption scandals or environmental accidents. These can also draw unwanted attention from regulators, courts, governments and media. Building a genuine culture of 'doing the right thing' within a corporation can offset these risks..It is both for corporate world and also institution....
-
doing the right thing at the right time
-
As we know there are 3 types of decision process. Certaincy, Uncertaincy and Risky. These 2 have their own characteristics but the most vital is risky. Because it is some sort of "loose canon"... But some steps should be evaluated when the question of risk management arises...
1. As I had discussed earlier, diversification of wealth is the most vital part. The more you diversify your capital, the more risk you may avoid.
2. Thinking foresight about the micro and macro environment. E.g- political turmoil situation in 2006, should have been anticipated by different big industrialists so that they may take effective measures.
3. A product or service should be made or produced thinking about customer needs and implementing one's own perception into it.
4. Liabilities should be overstaded so that the risk involvement decisions could be made for extreme situations...
There are more steps as well. So we should try and figure out other aspects as well...
-
Risk management is a systematic approach to minimizing an organization's exposure to risk. A risk management system includes various policies, procedures and practices that work in unison to identify, analyze, evaluate, address and monitor risk. Risk management information is used along with other corporate information, such as feasibility, to arrive at a risk management decision. Transferring risk to another party, lessening the negative affect of risk and avoiding risk altogether are considered risk management strategies. Examples of risk management practices include purchasing insurance, installing security systems, maintaining cash reserves and diversification. Traditional risk management works to reduce vulnerabilities that are associated with accidents, deaths and lawsuits, among others. Financial risk management focuses on minimizing risks through the use of financial tools and instruments including various trading techniques and financial analysis.
-
Actually financial investment planning is very essential from the beginning of any business. So, a sound investment planning consists of adjusted risk and return tradeoff. And a bad one has unbalanced risk and return tradeoff. We can take investing on land for example. Buying a land on a place where a small amount people have started to live is less risky as it may get appreciated over years. Where buying a land filled with water is risky as it is uncertain when its water level may reduce and would be appropriate for construction. But, the most risky project is investing on any region where the attitudes of local people is hostile to outsiders...
-
Risk is all about gaining assumption...............means as no risk is not be taken..........no gain will be occurred......Risk management......for the purpose of investing, negotiating, analytical suffixes & more core concepts is in there.................so Management is a risky process, everyone should try to implement it perfectly as concerned.
-
Our university can start this course in B.B.A program.It is very important for finance students.From this course,students can learn how to diversify the risk & make a portfolio to earn higher return.
-
Mr Jalal
I strongly agree with you infect I establish this post for this reason and it will be very effective for our knowledge and we should be involve to gather new experience about any kind of risk management for corporate world ...