RISK MANAGEMENT
Risk management, from the perspective of finance, is the practice of foreseeing potential
risks, assessing them, and executing precautionary measures to minimize the risk.
“The purpose of risk management is to recognize potential issues before they occur such
that risk-handling measures can be formulated and implemented as necessary over the
duration of a project or product to prevent severe outcomes in accomplishing goals.”
IMPORTANCE
In a business, risk management is crucial because, without it, it would be impossible to
determine future goals. If a business sets goals without taking the risks into account, it is
likely to lose focus when one or more of these hazards manifests itself.
“When starting a business, risk management is just as important as all other steps. The
majority of large corporations have failed because they neglected to mitigate risk. A
company cannot specify its long-term goals without a strong risk management strategy.
Risk management, if done properly, protects a business against losses and also
helps it to take advantage of possibilities, making it perhaps one of the most
fundamental components of an organization.”
WORKER PROTECTION
A critical element of effective health & safety management is a proactive and ongoing
process to identify and assess hazards at the workplace.
“For instance, Workers are often those who engage in manual labor in pesticide-treated
crops, such as harvesting, thinning, and pruning. The owners of agricultural
establishments to provide certain protections for themselves and their immediate family,
requires handlers to wear the labeling-specified clothing and personal protective
equipment when performing handler activities, and to take measures to protect workers
and other persons during pesticide applications.”