= Measures to reduce, control and regulate risks. Areas of application include corporate risks, credit risks, financial investment risks, environmental risks, insurance risks, etc.
Risk management includes setting strategic objectives, defining value drivers or critical success factors, establishing a risk management strategy, identifying, assessing/measuring and managing risks, managing risk defense as well as monitoring and early detection.
Risk management begins when a vision, an ideal image of future reality, emerges. The opportunities that one wants to take advantage of are jeopardized by imponderables. The choice of strategy depends essentially on the willingness to take risks (risk-averse, risk-neutral or risk-loving). There are basically five different risk management strategies: risk avoidance, risk reduction, risk limitation, risk transfer, risk acceptance.
A new, internationally supported ISO standard, ISO/DIS 31000, is now available for "risk management".
See also: Change management; Innovation management; Management systems; Organisation; Due diligence; Corporate management; Strategic management; Code of conduct; Corporate governance
Reference to QET guidelines: Q01 Leadership skills; Q06 Change management; Q15 Processes; Q16 Flexible organisation; Q19 Risk management; Q18 Innovation; T01 Guidelines; T02 CI; T16 SWOT