Risk
by ; Yulina Astuti
In the business journey every organization and individual in
it faces obstacles and difficulties, both small and big obstacles. These
constraints are known as business risks. In running a business will produce 2
possibilities that occur, namely; profit or risk. Business activities that have
all been successful still face risks. Business risk is inseparable and is an
integral part of a business activity.
Business risk is a result that may occur in an ongoing and
future business. Risk can also be interpreted as anything that has a negative
impact on achieving goals that are measured based on the possibilities and
impacts.
Based on PMK No. 191 / PMK.09 / 2008, the application of risk
management within the Ministry of Finance explained that the definition of risk
was emphasized on the negative impact on achieving goals.
The nature of the risk itself is uncertain and most of it
causes losses. Business risk is a situation that is not desired by business
people, but the risk of business itself is always unavoidable. The risk usually
arises because of activities and decisions taken in daily routine activities.
According to Abbas Salim, there are 3 factors that influence
uncertainty which can cause a risk of loss. This uncertainty can be caused by
the following factors;
- Economic uncertainly caused
- Uncertainty caused by nature (nature uncertainly caused)
- Uncertainty caused by human behavior (human uncertainly caused)
What is Risk Management?
Risk management is a systematic approach to determining the
best course of action in conditions of uncertainty. Risk management is an
integral part of management and good decision making at every level of the
organization.
Benefits of doing Business Risk Management
1. As material for business evaluation & decision
Evaluation is the process and measurement of the
effectiveness of strategies that have been used and have been carried out in
the past to achieve the objectives of a company. The results of business risk
analysis will be an ingredient for you to evaluate whether the methods that
have been carried out so far are correct and appropriate ways to achieve
business objectives? And so as not to make the same mistakes, which have been
done in the past, causing achievement of goals. With the evaluation, you will
more easily make a more appropriate business decision
2. Increased Productivity & Benefits
Productivity is a production activity that becomes a measure
of how well resources are managed and utilized to achieve optimal results.
3. Make it easy to estimate costs
Cost estimation is a calculation of the cost requirements
needed to complete an activity or work. Cost estimation is very important in a
business. Inaccuracies in estimated costs can have a negative impact on the
parties involved and for the production process to proceed itself, such as the
inhibition of the production process in a company. With the analysis and risk
management it will be easier for you to calculate the estimated costs needed,
such as estimating the cost of producing your business.
To be able to deal with business risks there needs to be a
well-organized strategy. Here are 4 easy tips for managing business risk.
- Do risk identification
Identifying these risks can be useful to identify possible
risks that are being or will occur in the business. The output of this risk
identification is a list of any risks that can occur in the business.
- Loss based ranking
After having a list of various business risks, it's time for
you to analyze and sort based on the worst impacts.
- Perform Risk Control
Register with these various risks will not mean if there is
no action plan that can be done to overcome them. In achieving business risks
there are 5 forms of attitude that you must take;
- Risk Avoidance (Avoiding risk)
The following attitudes are often ineffective because
avoiding this risk means that you don't dare to take the opportunity to try and
deal with risks, you don't even learn anything. This action means that you do
not take actions that can cause the risk to occur, including not making a
business strategy that has been prepared.
- Risk Reduction (Reducing Risk)
This means finding an action to reduce losses from a risk
that can occur. Possible risks occur, but the impact is minimized as much as
possible.
- Risk Tranfer
In addition to avoiding and reducing risk, you can also
transfer risk.
- Risk retention (Accepting risk)
Receiving means that you can only let the loss occur. This
attitude is certain to be taken if it is not another way to deal with it. Also
keep in mind that if the loss is too large then it is better to avoid it than
accept it.
4. Monitoring and Review
After successfully identifying the risks and choosing a
strategy that can be applied for each risk, you should always be aware of any
issues that exist.
Issue is a symptom of the arrival of a risk or even a crisis
that will hit. If the issue has become a real risk and brings a crisis it's
time for you to resolve or evaluate what your actions are for those risks.
Source; www.jurnal .id
