MANAGEMENT

Detailed explanation-1: -Risk management is the process of identifying, assessing and controlling threats to an organization’s capital and earnings. These risks stem from a variety of sources, including financial uncertainties, legal liabilities, technology issues, strategic management errors, accidents and natural disasters.

Detailed explanation-2: -Loss may result from the following: financial risks such as cost of claims and liability judgments. operational risks such as labor strikes. perimeter risks including weather or political change. strategic risks including management changes or loss of reputation.

Detailed explanation-3: -Risk management is an important process because it empowers a business with the necessary tools so that it can adequately identify and deal with potential risks. Once a risk has been identified, it is then easy to mitigate it.