Operation Risk Management Issues

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Operation Risk Management Issues
Introduction
Contemporary strategic or rather operational risk management in business organizations are the practices and methods used by the management of organizations in the management of risks and in the seizing or necessary opportunities that are attached to the achieving of the aims and objectives of an organization (Piechowski, 2010, p.28). It all involves the identification of particular situations; assess them in reference to the magnitude of their effects, establishing a strategic response and ensuring the implementation of such a progress. Through the identification and tackling of opportunities and risks that are associated to the aims and objectives of an organization, the business organizations are in a position to safeguard and create value for their employees, customers, owners and even the society in general. It s evident that in every organization there is need for a risk management team and its duty is to ensure that the organization does not incur so much costs in the running of its activities and to ensure every relevant opportunity is seized so as to increase productivity of the enterprise.
The strategic risk management team of every organization also takes into consideration the needs of the stake holders and all other individuals related directly to the organization, who really wants to understand the various risks that are likely to face the organization and ensuring they are properly managed (Trotter & Archer, 2010). It is a fact that every stakeholder in the organization wants the organization to achieve its best in terms of achieving the basic objectives. To do this they must take good care of the risks that are associated with the business organization as an enterprise. They must also seize any opportunity that arises that can be of benefit to the organization in one way or another. Understanding the needs of the employees, the customers and all other people associated to the organization is one way or rather method of risk management (Heath & Ni, 2010).
Before we give the contemporary risk management issues a greater perspective, we need to look at the kinds of risks that an organization is likely to face during its operations (Wessley, 2005, p.459). All these risks are associated with the running of the organization and how the systems in the organization are run starting from the management level to the stakeholder level. Such risks should be given priority since they have a capacity to bring a lot of impact to the organization. It calls for the cooperation from the management level and the stakeholders to manage these risks the best way possible. Managing risks well is one way an organization can achieve its goals in the market industry. Some organizations who have failed to manage their risks well enough have suffered a great deal to an extent of closing down the enterprise. Great emphasis sho...