What Makes an Ideal Risk Management Software

It has been found that 60% of major organizations that operate without a best practice risk
management program have been observed to under perform others in the same field or
occupation. This is why it is crucial for your organization (especially if it is of
significant magnitude) to offer an integrated risk management program that will involve key
players in the organization. At present, your organization might have bits and pieces of
risk management procedures set in place but it is necessary for all these risk management
policies and procedures to be able to work together cohesively.

To come up with a sound integrated risk management program, it is recommended that you
adopt a holistic approach. Here, you should be able to compare your existing risk profile,
systems and budget with that maintained by your colleagues in the same industry or field.
You need to determine how your organization stands to be affected by factors that may
impact on your ability to operate (particularly in the financial aspect.)

Another aspect of the program is planning for strategy, governance, organization,
architecture, continuity of your business, recovery from threats and crisis management.

The next stage would be implementation of any plans you came up with (particularly with
regards to partner issues, project management, change management, and program management.

You should then attempt to compare the results you come up with to pre-set standards,
aiming always to keep improving and progressing while being flexible enough to adjust to
fluctuating business objectives.

Shareholders in any risk management program would be risk managers, security, the IT
department, users, operations, and the management as well. Each of these should know what
their functions, responsibilities and accountability are when it comes to risk management.


How do I know that I am getting an ideal risk management software, when examining the range
of risk management software products available on the market?

The aim of any risk management software is to assist you in making good decisions when it
comes to risk management by basing them on sound evidence. The implementation of these
decisions should be covered by the particular organizational division which is affected by
the risk.

We know that the most dangerous threats, risks and hazards are those that we cannot
adequately foresee. However, your risk management software cannot take over this very human
function. At most, your risk management software will help you in four major ways:

– it should assist you in assessing the resources that are required to address risks
and opportunities alike, then prioritizing the use of such resources;
– coming up with a host of possible ways you can implement risk management soundly
based on cost efficiency;
– knowing what the Return-On-Investment is for the risk management alternatives you
have selected so that you can assess if the risk is worth the actions that are needed to
mitigate it;
– precisely compute the overall expense entailed when addressing risk then compare
these with any gains produced by implementation of correct planning.

In addition, you ought to be able to use your risk management software in combination with
other applications (particularly spreadsheets). The software you choose should permit
quantitative risk management to be combined with qualitative risk management. The effects
of the risk may be translated into either time or cost by the software. Information
databases used by the software should also be merged and analyzed piecemeal with ease.

In the end, your risk management software should make your job of risk management much
easier rather than complicate matters more.


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