Ajs/562 Risk Management Paper
Risk Management
AJS/562 Management of Institutional Risk and Critical Incident Management
Angelika L. Arnold
August 19, 2013
Erik Burks
Risk Management
Risks are a part of everyday living and each and every job no matter how big or small the organization or company. As petty as it sounds, when waking up in the morning there is a risk of tripping on a shoe or a pair of pants that were taken off the night before. When cooking breakfast there is a risk of burning the bacon, or forgetting to set the alarm before exiting the house. While at work there is a risk of saying something funny but may be deemed inappropriate to a co-worker. Every day individuals come in contact with minor situations that are often over looked until the …show more content…
situation goes array and left wondering what could have been done to prevent this from happening. Risk management is the thought process of how to deal with the storm before the flood comes. This paper will discuss the role and nature of organizational risk and the importance of risk management. Planning, identifying, cost, and the consequences of managing risk are all things considered when dealing with risk factors and organization risk management.
Risk Management
Risk management is the identification, assessment, and prioritization of a risk (“Risk Management”, n.d.). Risk management is a well-ordered, detailed process to consider the probability that a hazard will harm an asset or individual and to identify possible actions that can reduce the risk. Risk management is a way to identify weakness in a business or operation and provide a backup plan to mitigate the fallout of the threat. It is set up to acknowledge that while risk generally cannot be eliminated, evaluating and setting a plan for known or possible threats can severely reduce the risk. An effective risk management approach can have three elements: assessment of a threat, pin pointing the vulnerabilities, and a plan of action to succeed.
Risk assessment is a systematic examination of risk using disciplined processes, methods, and tools. It provides an environment for decision making to continuously evaluate and prioritize risks and recommend strategies to remediate or mitigate those risks (“Assistant Secretary of Defense for Homeland Defense and Americas ' Security Affairs”, n.d.). Several federal government organizations apply some formal threat assessment process in their operation of the process to begin implantation. For example, the Department of Defense uses threat assessments everyday for its antiterrorism program. The antiterrorism program was designed to protect military installations and the occupants on the base. The Department of Defense evaluates threats on the basis of several factors, including possible suspects, accessibility to the military installation, possible damage and recovery. By first acknowledging that with several guards on 24 hour watch; security can always be breached by one individual’s lack of discipline, integrity or attention to detail. It only takes one second for a small situation to turn into a major fiasco due to lack of risk management. The military particularly specializes in operation risk management.
Operation risk management is a step-by-step training class designed to educated, practice and applies risk management. One way the military identifies possible suspects of threat are by tracking who is allowed on base. Only authorized personnel or visitors with a clear background check may enter the gates. The main vulnerability is an inside attack on the installation. An inside attack is when an authorized person becomes the threat. The plan of action is a giant voice speaker that announces to everyone on the installation at the exact same time that a threat has occurred. By using operation risk management everyone on the installation is able to safely and efficiently ensure the threat is identified and secured. By having a risk management plan the Department of Defense is able to prepare for an attack, to recover from an attack, and to do so at a low cost and minimal backlash.
Banks often have the next well-known risk management operation fully intact and progressing. A bank usually has an armed security guard by the door and most employees work behind a primary tall desk. This tall desk is there so that no one can view his or her computers. One person generally greets you while the multiple cameras coming from all different directions watch your every move. People do not realize that they are on camera. All of these fairly unnoticeable gestures are from previous plans of risk management. From watching a movie or even the news everyone knows bank robbers almost always get caught. Banks keep track of large amounts of bills by sequencing the numbers on the bills. Putting trackers or dye into the vaults and safety security boxes to minimize robbery. Banks are unable to eliminate robbery all together because someone always thinks they can out smart the intelligence of the next person.
Many privately owned gas stations have bulletproof glass inside or the owners keep a loaded gun behind the register and cameras just in case things get out of hand. Simply having a manager or two people on a shift are often ways for quick recovery of a risk. If someone falls down or gets hurt or decides to take unhealthy matters into their own hands having a second voice of reason and someone ready available to assist can quickly clean up a messy situation.
Planning For Risk
Risk management is simple and not just important of major corporations. It can be done at home, at work, or in the car. First get a list of possible vulnerabilities you may have in your house or neighborhood. Examples include, but are not limited to, fires, theft, and car accidents. Next step is to plan a step-by-step method of prevention. Such as buying and installing a smoke detector, getting an alarm system for your protection and always wearing your seatbelt and following the speed limit. Propose a plan of action for recovery in case the batteries die or smoke inhalation becomes a problem. Planning increases the chances of success.
Risk management is essential to the overall security and well being of any organization. Risk management is crucial in guaranteeing that security controls and spending are proportionate with the actual risks to which the organization is exposed. Organizational risk management requires a sound understanding of the principles of risk. Managing risk is extremely important in justice and security operations primarily because someone is always found at fault if anything is to go array. If a prisoner doesn’t show up for court on time the judge will find him and his attorney at fault for delaying the courts time. If a plane crashes the media automatically blames the pilot or the manufacturer of the plane. If the president were ever in danger, his secret service would be blamed if he were not protected. Consequences of Failed Risk Management
The first thing to consider in a justice and security organization is the personal liability that those in each organization must face daily.
Risk can be explained in various ways, so long as it combines a hazard with the probability of a specified outcome or multiple outcomes. Risk is the product of a possibility of loss, misfortune or simply an accident and the probability that this hazard occurs. Police officers and fire fighters, for example have their own personal safety compromised on multiple occasions. This is why before becoming a part of a justice organization officers must go through rigorous training and exercises to ensure they are properly prepared in any situation they may encounter while protection themselves as well as the American people. Borum, Fein, Vossekuil, & Berglund (1999) discussed how police officials, workplace supervisors, school principals, and others who are approached with information about an instance of potential targeted violence must increasingly take action to gather information about the risk of violence and then attempt to resolve any problematic situation. If a police officer fails to properly manage that risk, the police officer may lose his or her life, harm an innocent person, or even put multiple people at risk in a single moment. Anytime failed risk management occurs an extensive report is performed that identifies what protocols were followed properly, what protocols were not, and what protocols may need to be improved. Similar to what risks occurred, was the plan of action followed and how can the losses be mitigated in this situation. As society changes, justice organizations also need to change with society. Security also needs to change with advancing technology security and technology both need to effectively plan risk management programs and apply it to each organization. Without risk management, protocols, safety instructions, rules, laws and regulations the world would not be able to properly function. The
importance of risk management is vital in keeping businesses and corporations on an increased slope to success.
Conclusion
Every simple task in regard to risk management can be eliminated to minimized by simply setting rules, enforcing them, and having a backup plan if something out of the ordinary happens. Any company or organization whether it is security or justice or a commonly known business, risk management is essential. Risk management is crucial in everyday life.
References
Assistant Secretary of Defense for Homeland Defense and America 's Security Affairs. (n.d.). Retrieved from http://policy.defense.gov Borum, R., Fein, R., & Vossekuil, B. & Berglund, J., (1999). Threat Assessment. Behavioral
Sciences and the Law, 17(3), 323-337.
Risk Management. (n.d.). Retrieved from http://www.princeton.edu
AJS/562 Management of Institutional Risk and Critical Incident Management
Angelika L. Arnold
August 19, 2013
Erik Burks
Risk Management
Risks are a part of everyday living and each and every job no matter how big or small the organization or company. As petty as it sounds, when waking up in the morning there is a risk of tripping on a shoe or a pair of pants that were taken off the night before. When cooking breakfast there is a risk of burning the bacon, or forgetting to set the alarm before exiting the house. While at work there is a risk of saying something funny but may be deemed inappropriate to a co-worker. Every day individuals come in contact with minor situations that are often over looked until the …show more content…
situation goes array and left wondering what could have been done to prevent this from happening. Risk management is the thought process of how to deal with the storm before the flood comes. This paper will discuss the role and nature of organizational risk and the importance of risk management. Planning, identifying, cost, and the consequences of managing risk are all things considered when dealing with risk factors and organization risk management.
Risk Management
Risk management is the identification, assessment, and prioritization of a risk (“Risk Management”, n.d.). Risk management is a well-ordered, detailed process to consider the probability that a hazard will harm an asset or individual and to identify possible actions that can reduce the risk. Risk management is a way to identify weakness in a business or operation and provide a backup plan to mitigate the fallout of the threat. It is set up to acknowledge that while risk generally cannot be eliminated, evaluating and setting a plan for known or possible threats can severely reduce the risk. An effective risk management approach can have three elements: assessment of a threat, pin pointing the vulnerabilities, and a plan of action to succeed.
Risk assessment is a systematic examination of risk using disciplined processes, methods, and tools. It provides an environment for decision making to continuously evaluate and prioritize risks and recommend strategies to remediate or mitigate those risks (“Assistant Secretary of Defense for Homeland Defense and Americas ' Security Affairs”, n.d.). Several federal government organizations apply some formal threat assessment process in their operation of the process to begin implantation. For example, the Department of Defense uses threat assessments everyday for its antiterrorism program. The antiterrorism program was designed to protect military installations and the occupants on the base. The Department of Defense evaluates threats on the basis of several factors, including possible suspects, accessibility to the military installation, possible damage and recovery. By first acknowledging that with several guards on 24 hour watch; security can always be breached by one individual’s lack of discipline, integrity or attention to detail. It only takes one second for a small situation to turn into a major fiasco due to lack of risk management. The military particularly specializes in operation risk management.
Operation risk management is a step-by-step training class designed to educated, practice and applies risk management. One way the military identifies possible suspects of threat are by tracking who is allowed on base. Only authorized personnel or visitors with a clear background check may enter the gates. The main vulnerability is an inside attack on the installation. An inside attack is when an authorized person becomes the threat. The plan of action is a giant voice speaker that announces to everyone on the installation at the exact same time that a threat has occurred. By using operation risk management everyone on the installation is able to safely and efficiently ensure the threat is identified and secured. By having a risk management plan the Department of Defense is able to prepare for an attack, to recover from an attack, and to do so at a low cost and minimal backlash.
Banks often have the next well-known risk management operation fully intact and progressing. A bank usually has an armed security guard by the door and most employees work behind a primary tall desk. This tall desk is there so that no one can view his or her computers. One person generally greets you while the multiple cameras coming from all different directions watch your every move. People do not realize that they are on camera. All of these fairly unnoticeable gestures are from previous plans of risk management. From watching a movie or even the news everyone knows bank robbers almost always get caught. Banks keep track of large amounts of bills by sequencing the numbers on the bills. Putting trackers or dye into the vaults and safety security boxes to minimize robbery. Banks are unable to eliminate robbery all together because someone always thinks they can out smart the intelligence of the next person.
Many privately owned gas stations have bulletproof glass inside or the owners keep a loaded gun behind the register and cameras just in case things get out of hand. Simply having a manager or two people on a shift are often ways for quick recovery of a risk. If someone falls down or gets hurt or decides to take unhealthy matters into their own hands having a second voice of reason and someone ready available to assist can quickly clean up a messy situation.
Planning For Risk
Risk management is simple and not just important of major corporations. It can be done at home, at work, or in the car. First get a list of possible vulnerabilities you may have in your house or neighborhood. Examples include, but are not limited to, fires, theft, and car accidents. Next step is to plan a step-by-step method of prevention. Such as buying and installing a smoke detector, getting an alarm system for your protection and always wearing your seatbelt and following the speed limit. Propose a plan of action for recovery in case the batteries die or smoke inhalation becomes a problem. Planning increases the chances of success.
Risk management is essential to the overall security and well being of any organization. Risk management is crucial in guaranteeing that security controls and spending are proportionate with the actual risks to which the organization is exposed. Organizational risk management requires a sound understanding of the principles of risk. Managing risk is extremely important in justice and security operations primarily because someone is always found at fault if anything is to go array. If a prisoner doesn’t show up for court on time the judge will find him and his attorney at fault for delaying the courts time. If a plane crashes the media automatically blames the pilot or the manufacturer of the plane. If the president were ever in danger, his secret service would be blamed if he were not protected. Consequences of Failed Risk Management
The first thing to consider in a justice and security organization is the personal liability that those in each organization must face daily.
Risk can be explained in various ways, so long as it combines a hazard with the probability of a specified outcome or multiple outcomes. Risk is the product of a possibility of loss, misfortune or simply an accident and the probability that this hazard occurs. Police officers and fire fighters, for example have their own personal safety compromised on multiple occasions. This is why before becoming a part of a justice organization officers must go through rigorous training and exercises to ensure they are properly prepared in any situation they may encounter while protection themselves as well as the American people. Borum, Fein, Vossekuil, & Berglund (1999) discussed how police officials, workplace supervisors, school principals, and others who are approached with information about an instance of potential targeted violence must increasingly take action to gather information about the risk of violence and then attempt to resolve any problematic situation. If a police officer fails to properly manage that risk, the police officer may lose his or her life, harm an innocent person, or even put multiple people at risk in a single moment. Anytime failed risk management occurs an extensive report is performed that identifies what protocols were followed properly, what protocols were not, and what protocols may need to be improved. Similar to what risks occurred, was the plan of action followed and how can the losses be mitigated in this situation. As society changes, justice organizations also need to change with society. Security also needs to change with advancing technology security and technology both need to effectively plan risk management programs and apply it to each organization. Without risk management, protocols, safety instructions, rules, laws and regulations the world would not be able to properly function. The
importance of risk management is vital in keeping businesses and corporations on an increased slope to success.
Conclusion
Every simple task in regard to risk management can be eliminated to minimized by simply setting rules, enforcing them, and having a backup plan if something out of the ordinary happens. Any company or organization whether it is security or justice or a commonly known business, risk management is essential. Risk management is crucial in everyday life.
References
Assistant Secretary of Defense for Homeland Defense and America 's Security Affairs. (n.d.). Retrieved from http://policy.defense.gov Borum, R., Fein, R., & Vossekuil, B. & Berglund, J., (1999). Threat Assessment. Behavioral
Sciences and the Law, 17(3), 323-337.
Risk Management. (n.d.). Retrieved from http://www.princeton.edu