The Concept of IT Risk Management

In the early 1950s, there was a development for insurance in US. Because, some people in US purchased insurance but there was no attention to protection of the people and their property, and also poor awareness from the people about the quality of property protection, healthcare and safety standards, and other issues concerned risk control. So, because of that condition, they needed risk management.

What is Risk Management?

Based on Institute of Risk Management, it's a process that has purpose to help organizations understanding, evaluating, and taking actions on all their risks in order to increase the probability of success and reducing the probability of failure.

Is It Important to Learn Risk Management?

Earlier before, people use risk management only when they had to deal with hazard risks. Nowadays, it concerned to the improved of control risks and opportunity risks. Besides, because of many issues both in relation to managing an organization and changing in the market place, the importance of risk management is decreased.

Some major areas that needs risk managements are:

• Project risk management
• Medical risk management
• Energy risk management
• Operational risk management

Preliminary, an organization may be aware of a new risk and the need to take right action. In that case, there will be a necessity for the organization to REFORM in response to the hazard one. After that, the organization will find to CONFORM with the right risk control standards. Finally, the organization may recognize that there are some benefits to be gained from the risk. The organization will have the capability to PERFORM and see the risk as an opportunity risk.

Risk management has its own principle. A successful risk management aegis will be comparable to the level risk within the organization, in the tune with other business activities, comprehensive, systematic, and structured, also instilled with business processes, dynamic, iterative and responsive to change.

Perspective of risk management explained that each type of risk managements outcomes different result.  Hazard management creates less negative impact. Control management cut down on deployment of likely results. Opportunity management comes out with more positive result. :-)



References:

• Hopkin, Paul. Fundamentals of Risk Management. KoganPage: 2010.
• A Guide to PMBoK4thEdition