Effective Risk Governance Strategy for Covid-19. Business & Marketing

Effective Risk Governance Strategy for Covid-19
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Effective Risk Governance Strategy for Covid-19
Introduction
The world is currently facing a global pandemic that continues to cast uncertainties across the social, political, and economic dimensions in communities across the globe. Governments, international organizations, multinational corporations, and non-profit organizations worldwide are struggling to find solutions to address the effects of the novel coronavirus across the outlined social dimensions. The respiratory disease, COVID-19, is causing havoc in the social structure as it demands isolation of individuals through social distancing and further limits the movement of people in the effort to contain its spread across the world. The disruption of the perceived normal social life of unrestricted interaction and integration of people breeds panic and anxiety in society as members lack the support of the physical social networks through which they dealt with different aspects of life. Containment measures such as the stay at and work from home initiatives have equally led to adverse economic effects with massive layoffs of employees and the complete shutdown of business activities across different sectors of the economy. The uncertainty over the origin and manifestation of the novel Coronavirus and the most effective approach to take towards mitigating its catastrophic effects on the global community also accounts for heightened political polarization between and among nations. The highlighted effects of COVID-19 on the global society necessitate or rather impresses on the importance of effective risk management in the public sector. The development of an effective risk management strategy for the public health crises requires the consideration of underlying factors that characterize the risk factor and its potential impact on society or the public. The identification of the type of risk involved, for instance, plays a significant role in the development of the appropriate approach towards mitigating its effect on the parties involved. The development and implementation of an effective risk management approach lead to the achievement of the desired outcome. It is upon the consideration of such factors or elements characterizing risk management that this paper proposes the use of the precautionary principle framework as the appropriate and effective strategy for the management of COVID-19 by the public sectors of governments around the world. A comprehensive evaluation of risk management through the lens of the precautionary principle approach in dealing with COVID-19 creates an effective platform for the establishment of whether it is an effective strategy.
Identification of the Risk
It is essential to reiterate the importance of identifying the type of risk as an integral factor in the development and implementation of an effective risk management strategy. First and foremost, risk refers to the uncertainty of the results of an event or an action (Natesh, 2017). A risk is the combined manifestation of probability or likelihood and the impact, consequences, or even repercussions in the form of opportunities or threats as the positive and negative functions of the event, respectively...