RISK MANAGEMENT AND THE DIGITAL COMPANIES

Source: wilmarinc.com

During the present era of pandemic COVID-19, the concept of Risk Management has emerged as a challenge not only to the global economic scenario but to the education and the literacy. As a corollary to the recent developments of unprecedented pandemic, a wider awareness has arisen among the Institutions and the enterprises to identify the causes of the risk and to monitor it properly to manage and contain the risk. The Companies and the Corporate world have now become aware of risks, challenges which they face and have a Risk Management system in place to mitigate the impact of the same.  But most of the companies are not even aware of the terminology, although there emanated a wide publicity through media and online courses in management.

Companies and the Corporate world do perform SWOT analysis to identify and formulate their vision and mission statement to settle their goals to meet the technical and financial targets in their Organization.

In the above backdrop, various Government authorities and the entrepreneurs have agreed to work together towards making India risk ready. When the uncertainty has emerged in all core sectors, consistent attention is being focused on long term sustainability of the students and the educational institutions throughout the country.

Risk management and risk-taking are akin to identify and establish the probable risk structure embedded in a particular Engineering or any other Institution imparting the education to its students whether through online classes or off-line mode or in any other standard form of teaching and learning. Once these two factors are identified, there arises a need to assign the responsibility of the Key Managers or the authorities of the said Institute for finding an amicable solution to culminate into the sustainability of the Institute in the best interest of the aspirants. Subsequent to identification of the risk structure or the arena, the most important and pivotal role which comes in the minds of the organizers is to create an enterprise Risk Map.  This map covers all the areas and segments which are susceptible for indulging in risk-taking to be taken care of by introducing new by-laws or laws, reforms, etc. to cope up with the endangered challenges. The map also helps in making an awareness for risk reporting and in turn, also in risk resolving.  The risk-reporting manages the Institute or the Enterprise to find the ways and means for avoiding the probable loss to men, machine and the inventories.

On the above fore-front, for all digital companies, whether small or big, Institute of Risk Management (IRM) have pioneered all over the Country to understand the uncertainties affecting the world as a whole, especially the profound impact of COVID-19 through its first and second waves as well as the anticipated third wave also hitting the people of any age.  Once the challenges are circled for resolution, Risk Management in the Institute or the Organization becomes an integral part of the decision-making process.

Under the above head, the Institute or the organization form the Risk Management team to be used as the matrix in the next step for evaluation and classification of the volume of the risk thus identified. Such a robust matrix once created further helps in assigning the various categories of probable risks among the Teams thus constituted for mitigation. Alongside formation of Risk Management Teams in an Institute, there arises a need for developing a Risk Management Program to revisit the institution’s aims & objectives, history, condition of the assets and the property, learners, students and the resources. To achieve better results and to meet the timelines of the risk management programme, it is very essential to nominate responsible officers as Leader for the purpose of accountability. The persons so nominated and appointed are made responsible for planning and implementing the Risk Management Programme and meeting the timelines to see that risks are prioritized as soon as they emerge.

The penultimate part of the above Risk Management Programme is to monitor and review the plan from time to time and with consistent focus to ensure that the risks do not further emerge giving an unprecedented challenge to the Institute and its properties including the students and other resources.

Under the above conditions and circumstances, formations of Risk Management Board are also essential to keep an watch over the functions of the persons made responsible to oversee the risks in a better way. There is a need to develop an environment of Risk Management to guard its Institutions through exchange of latest news, articles, encouraging research and development, provide courses on risk management, conduct of webinars, conferences, etc.

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