Risk Management: is the practice of measuring or determining risk and developing strategies to effectively manage it. Strategies include transferring the risk to another party, risk avoidance, risk reduction and the ultimately the willingness to accept some or all of the risk. Risks can never be fully avoided or mitigated simply because of cost and/or real-world limitations. Therefore all organizations have to accept some level of risks in their day-to-day operations.
Risk identification can start with identifying potential or existing problems. Once identified, they must then be assessed as to their potential severity of loss and to the probability of occurrence. Based on these factors, a decision will be made on a method or combination of methods to be used to manage the risk.
Risk management plans will never be perfect practice, thus experience and actual loss results will drive changes in the plan and contribute information to allow possible different decisions to be made in dealing with the risks being faced.
Fort Lewis College works closely with the Colorado Department of Risk Management in regards to risk on campus. The state web site for risk management is:
Examples of risk management activities on campus include:
- Business continuity/pandemic flu
- Emergency response planning and response training
- National Incident Management System (NIMS) and Incident Command System (ICS)
- Return to work and transitional work