Risk Management

Opportunities and risks
Opportunities can only be seized by those who are also prepared to take risks. Without taking risks, no entrepreneurial action is possible. On the other hand, it is crucial for the economic success and even the existence of companies to manage entrepreneurial risks appropriately.

Strategy and management system
To manage risk, a risk strategy must first be developed, which in particular makes statements about how high the risks the company is prepared to bear should be. Then either a risk management system must be implemented and operated, or at least the risk management principles must be integrated into the existing management system. In particular, the risk management principles must also be applied in data privacy and information security.

Control loop and control options
The core of risk management is the risk management control loop: identifying, assessing, managing and reporting risks. Four options are available for managing risks:
Avoid, reduce, accept and transfer risks; ignoring risks is not an option. Companies must know their risks and consciously manage them.