Minimize the negative impact of risks on your organization with Risk Management
Partner with us to mitigate and manage risk by implementing strategies that identify, assess, and prioritize potential threats.
How do you grow your company and still provide meaningful solutions to your customers, without sacrificing quality? For organizations that are trying to go from $1M+ to $10M in revenue, this is literally The 10 Million Dollar Question. And what is it that $10M companies have, that smaller companies do not?
As a small business owner, you've likely encountered many obstacles in pursuit of sustainable $10M revenue growth. It can be quite demoralizing... you work hard, you put in the extra hours outside of the office, and yet somehow (to this point), you haven't been able to reach this milestone.
First, let's acknowledge that this is not an easy feat. In fact, less than 1% of businesses surpass the $10M mark. Do not despair, there's a silver lining here... If your business is generating at least $1M per year, you've already beaten out 95% of all businesses in the US. That's right, $1M in annual revenue puts your company in the top 5%.
This means you're not trying to climb a long steep hill from the bottom to reach the top 1%. In reality, you're not all that far from the summit. We're talking about edging out only 4 more measly percentage points to get into the top 1% from where you are. Sound doable? That's because it is! Take the first step of growing your company to $10M by partnering with Doxazo to implement Risk Management to mitigate and manage your company's risks.
“There are costs and risks to a program of action, but they are far less than the long range risks and costs of comfortable inaction.”
-John F. Kennedy
About this Service
Our Risk Management services are designed to ensure the continuity of your business. Implementing Risk Management will help improve your organization's decision making, efficiency, competitive advantage, and stakeholder satisfaction, while protecting your reputation. We do this by proactively identifying, assessing, and prioritizing potential risks, and then implementing strategies to mitigate or manage them.
We want to enable you to take your small or medium-sized business to $10M, and beyond. Your decision to incorporate an effective Risk Management process is a major step in the right direction to get you there.
Doxazo enhances industry best practices by adding our Combined Energy Approach™ to frameworks and standard Risk Management methodologies. This allows us to obtain impactful results while minimizing the impact of disruptions. Our tools to enhance Teamwork, Communication, Effectiveness, and Alignment help ensure buy-in and support (improving adoption).
This approach allows us to get everyone on the same page about the importance of Risk Management. We'll help leverage the technology and systems you have in place to automate processes where possible, and provide expertise and access to resources to solidify your internal operations.
For change to take root, we believe creating team understanding is an absolute must, but we don't stop there. Our goal is to take your team beyond simple understanding to having confidence that the changes are needed for the greater good. Further, we want to inspire within them the discipline to adhere to your new Risk Management processes. In other words, we want to overcome resistance and ensure the changes "stick".
Perhaps the best feature of our Risk Management program is that it is not a temporary solution. Yes, we want to help you assess and plan for short-term risks, but we also want your team to be able to manage future risks without further external assistance. As with all of our process-related services, Risk Management is ingrained with Continuous Improvement techniques to ensure your process doesn't become obsolete, in fact, it is designed to get better and better over time.
What our In-person Risk Management services entail:
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Defined Risk Criteria
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Risk Categories
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Risk Scenarios
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Risk Statements
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Risk Appetite
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Risk Tolerance
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Risk Threshold
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Risk Management Policy
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Accountability
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Risk Assessment
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Risk Identification
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Risk Analysis
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Risk Evaluation
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Risk Planning
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Mitigation Strategies
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Risk Register
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Risk Monitoring
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Response Matrix
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Contingency Planning
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Feedback Presentation
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Risk Treatment
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Tactical Plan of Action for Next 90 Days
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Risk Tracking
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Evaluation of Response and Resolution
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Risk Based Audit
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Constrain Residual Risk to Risk Appetite
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Standard Operating Procedure (SOP)
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Training
- Organizational Level
- Group Level
- Individual Level
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Continuous Improvement
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Training
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Evaluation and Optimization
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Key Performance Indicators
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Stakeholder Engagement
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*if you’re interested in business enhancements like Risk Management, be sure to check out our other offerings by clicking here.
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FAQs
How do you grow your company and still provide meaningful solutions to your customers, without sacrificing quality?
Partnering with Doxazo to implement Risk Management within your company will help improve your organization's decision making, efficiency, competitive advantage, and stakeholder satisfaction, while protecting your reputation. These are vital steps for ensuring the continuity of your business. A Risk Management process will enable you and your team to prepare for, and take action when risk events are triggered.
...even if you have a busy schedule?
There's no better time than now to implement a Risk Management program. It doesn't matter if you have a full schedule or perhaps you're in the midst of your "busy season". If you think about it, you will always feel busy or have a full schedule (if your company is growing and succeeding the way you want it to). If you can prepare for and treat risk during the hectic times, it'll be all the more simple if things do calm down. In fact, the whole point of having a Risk Management process is to efficiently and effectively mitigate risk within your organization. Without Risk Management, you and your team are flying blind. Why not get a Risk Management process in place to avoid and mitigate risks before they become issues? Don't delay the implementation of this powerful solution that will so greatly help you and your stakeholders. Risk is inevitable, it only makes sense to take steps to manage it to avoid costly disruptions.
...even if there doesn't seem to be any money in the budget?
The savings and rewards of effective Risk Management will far outweigh the costs. Organizations lose an incredible amount of time and money due to lack of awareness, poor planning, poor decision making, and unforeseen incidents like data breach, accidents, or natural disasters. When an organization takes steps to mitigate and address these risks, it can reduce and even avoid their negative impacts. This makes the company more productive, profitable, agile, and increases stakeholder happiness. We offer this premium service for a reasonable price, and it has the potential to have paid for itself many times over within months (or perhaps even weeks).
...even if your company is unique from all other companies?
Risk Management has some best practices, frameworks, and methodologies but it is by no means a "one-size-fits-all" solution. We'll take the time to gain insight into your organization’s values, objectives, and resources. We conduct Risk Assessment and custom tailor Risk Treatments with a tactical plan of action for each organization no matter how unique. Lastly, we'll make any required adjustments to ensure design of the deliverables, implementation, training, evaluation, and optimization meet both our standards.
...even if you have tried in the past and were unsuccessful?
Doxazo's Risk Management services include additional training designed to bridge the gap between intentions and actual results. Without proper buy-in from your team and commitment to managing risk, you will not get the results you seek. For us, it's not enough to just "give you a fish to feed you for a day". We want to "teach you to fish to feed you for a lifetime" by guiding you through the process of understanding, to gain confidence, become disciplined, and generate excitement so you don't lose momentum as soon as we walk out the door.
...even if you don't think it's possible?
If you’re choosing not to engage in effective Risk Management, it’s only a matter of time before you are left behind by your competition. Everyone needs strategies in place to mitigate risk if they are to remain competitive when delivering their product or service. Without managing risk, you're treating disruptions and catastrophic events as an unforeseen occurrences and you don't have to! Taking a step towards implementing this solution will allow you to ensure your company's future, but only if you choose to act.
...even if you think it would be better suited for down the road?
There's no better time than now to implement a Risk Management program. It doesn't matter if you have a full schedule or perhaps you're in the midst of your "busy season". If you think about it, you will always feel busy or have a full schedule (if your company is growing and succeeding the way you want it to). If you can prepare for and treat risk during the hectic times, it'll be all the more simple if things do calm down. In fact, the whole point of having a Risk Management process is to efficiently and effectively mitigate risk within your organization. Without Risk Management, you and your team are flying blind. Why not get a Risk Management process in place to avoid and mitigate risks before they become issues? Don't delay the implementation of this powerful solution that will so greatly help you and your stakeholders. Risk is inevitable, it only makes sense to take steps to manage it to avoid costly disruptions.
Why Doxazo
Like many other firms, we utilize best practices for Risk Management. We focus on identifying, assessing, and prioritizing potential risks and implementing strategies to mitigate or manage those risks.
With that said, not all Risk Management process services are created equal. While we utilize many of the same practices as the competition, we must emphasize that we are not all cut from the same cloth. We believe in "striking while the iron is hot". If you're interested in pulling the trigger, you shouldn't have to wait. We're committed to getting you rolling within 2 weeks of initial contact (if you so desire).
We will identify, analyze, evaluate, and offer treatment for your organization's risks. Our true goal isn't just to address the current and short-term risks. We desire to impart the knowledge and practices that will allow you conduct Risk Management on your own, in-house, unassisted by external partners like us in the future.
We'll leverage tools and methods for improving Teamwork, Communication, Effectiveness, and Alignment within your organization (called the Combined Energy Approach™ ) to maximize productivity. Organizational shifts take time, but we have found it can be greatly reduced when everyone has the same goal, they're working together, information is flowing, and the root causes of issues are being solved.
Processes like Risk Management are only as good as the people that execute them. In order to set your organization up for success, we don't just enact implementation at the organizational level, we also strive to create understanding, confidence, discipline, and excitement surrounding this process at the group and individual levels. At Doxazo, we care about delivering positive results, so if you're not happy, we're not happy.
None of this costs you anything if you don’t feel value was received. Our guarantee states: “If when the work is done, the client does not feel that the full value was received, then the client decides how much it was worth and how much to pay (if anything).” That is how confident we are that we can deliver positive results.
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Risk Management
Bottom Line Up Front (BLUF):
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Risk Management is the process of identifying, assessing, and prioritizing potential risks to an organization and implementing strategies to mitigate or manage those risks.
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There are several different methodologies, models, and frameworks used in Risk Management, such as ISO 31000, COSO ERM, FAIR, Six Sigma, SWOT analysis, PESTLE, and FMEA.
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Risk Management is important for several reasons, including protection of assets, compliance, improved decision making, increased efficiency, competitive advantage, reputation and stakeholder management and continuity of business.
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Risk Management is used across a wide range of industries, including financial services, healthcare, manufacturing, energy, construction, transport, technology, agriculture, public services, and retail.
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Risk Management is an ongoing process that should be conducted at regular intervals, and also incorporated into the day-to-day operations of the organization.
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Signals that the implementation of Risk Management is needed include increasing complexity, changing regulations, recent incidents, financial losses, reputation damage, stakeholder pressure, lack of risk awareness, ad-hoc decision making, and lack of continuity planning.
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Risk Management can benefit a wide range of stakeholders, including shareholders, customers, employees, suppliers, regulators, insurers, government, community and non-governmental organizations, and board of directors.
In This Article
What is Risk Management?
Risk Management is act of identifying, assessing, and prioritizing potential risks to an organization followed by the implementation of strategies to mitigate or manage those risks. This can include everything from strategic, operational, and financial risk, to other hazards. The objective of Risk Management is to increase opportunities for successful outcomes while minimizing the negative effects of risks on a company. This is done through a combination of risk identification, risk assessment, and risk treatments.
There are several different methodologies, models, and frameworks used in Risk Management, including:
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ISO 31000: an international standard that provides a framework for Risk Management including guidelines for risk assessment, risk evaluation, and risk treatment.
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COSO ERM: The Committee of Sponsoring Organizations of the Treadway Commission (COSO) developed the Enterprise Risk Management (ERM) framework, which provides a comprehensive approach to managing risk across an organization.
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FAIR: The Factor Analysis of Information Risk (FAIR) is a model for quantitative risk assessment that allows organizations to identify and measure the likelihood and impact of different types of risk.
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Six Sigma: a methodology for improving process quality and reducing defects. It can also be applied to Risk Management by identifying and mitigating sources of risk in an organization's processes.
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SWOT Analysis: a tool used to identify an organization's strengths, weaknesses, opportunities, and threats. which can contribute to Risk Management.
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PESTLE: an acronym for Political, Economic, Social, Technological, Legal and Environmental factors that can impact an organization. This tool also helps in identifying potential risks and opportunities.
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FMEA: Failure Modes and Effects Analysis (FMEA) is a methodology used to identify and prioritize potential failures in a system or process, and then to develop strategies to mitigate or prevent those failures.
These are just a few examples, there are many more methodologies, models and frameworks used in Risk Management. The key is understanding which to use in each unique situation.
Why is Risk Management Important?
Risks can cause disruptions to business operations. Effective Risk Management can minimize the impact of these disruptions and ensure continuity of the business. Some key areas addressed by Risk Management include:
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Protection of assets: Risk Management helps to protect an organization's assets by identifying and mitigating potential risks that could lead to financial losses or damage to the organization's reputation.
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Compliance: Many industries and organizations are subject to regulations and laws that require them to implement Risk Management processes. Compliance with these regulations can help avoid fines, penalties and legal issues.
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Improved decision making: Risk Management provides organizations with a systematic process which can help them make effective decisions about priorities and resources.
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Increased efficiency: organizations which reduce the likelihood of disruptions to their operations and minimize the impact of those that do occur, see improvement in their efficiency and productivity.
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Competitive Advantage: Risk Management can help organizations identify opportunities for growth and innovation, giving them a competitive advantage.
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Reputation: Effective Risk Management can help protect an organization's reputation and brand.
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Stakeholder Management: By managing risks, organizations can better meet the expectations of their stakeholders.
Who needs Risk Management?
Risk Management is used across a wide range of industries. It is a necessary step to ensure the continuity of businesses over time. Companies that refuse to identify potential risks and implement mitigation strategies will eventually succumb to their competitors and other hazards. Risk Management is relevant in every industry, in companies of all sizes.
Some industries which focus on Risk Management include:
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Financial Services: Banks, insurance companies, and investment firms use Risk Management to protect against financial losses and ensure compliance with regulations.
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Healthcare: providers use Risk Management to protect patients and ensure compliance with regulations.
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Manufacturing: Managing Risk ensure the safety of their products and the safety of their employees.
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Energy: Oil, gas, utilities, and renewable energy providers use Risk Management to protect against potential accidents and ensure regulatory compliance.
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Construction: using Risk Managment ensures the safety of workers by helping to prevent accidents.
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Transport: Airline, shipping, and trucking companies use Risk Management to protect against potential accidents.
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Technology: Risk Management helps Tech companies protect against cyber-attacks and data breaches.
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Agriculture: Agriculture companies use Risk Management to protect against potential losses from natural disasters, disease, and market fluctuations.
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Public services: Police, Fire and Emergency Services, and Local Government use Risk Management to protect the public.
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Retail: Retail companies use Risk Management to protect against theft, fraud, and supply chain disruptions.
These are just a few examples, there are many more industries that utilize Risk Management. Aside from industries and organizations as a whole, there are benefits for individual stakeholders when Risk Management is implemented as well.
Some stakeholders that benefit from Risk Management, include:
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Customers benefit from Risk Management because it can help to ensure the safety and reliability of products and services.
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Employees benefit from Risk Management because it can help to create a safe and healthy working environment.
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Shareholders benefit from Risk Management because it can help to protect the value of their investments.
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Suppliers benefit from Risk Management because it can help lead to more predictable and stable demand for their products and services.
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Regulators benefit from Risk Management because it can help protect the public and promote fair competition.
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Insurers benefit from Risk Management because it can help reduce the likelihood and impact of losses, leading to lower insurance premiums.
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Government benefits from Risk Management because it can help to protect the public and promote economic stability.
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The community benefits from Risk Management because it can help to protect the environment, and promote public health and safety.
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Non-Governmental Organizations benefit from Risk Management because it can help to protect human rights, promote sustainable development, and prevent environmental degradation.
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Boards of Directors benefit from Risk Management because it helps them in making informed decisions and to fulfill their fiduciary responsibilities.
As you can see, there are several beneficiaries of having an effective Risk Management processes in place. Alternatively, if risk is not identified, assessed, and treated, each of the above stakeholders has much to lose. Allowing the occurrence of circumstances beyond your risk appetite, tolerance, and threshold is doing a great disservice to the organization and its stakeholders.
When is it time to implement Risk Management?
Many organizations consider risks informally according to the capacity and resources available. The question is, when is it time to start taking risk more seriously by implementing an official Risk Managment process?
There are several signs that the implementation of Risk Management is needed, including:
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Increasing complexity: If an organization is experiencing increasing complexity in its operations or market, it may be a sign that Risk Management is needed.
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Changing regulations: If an organization is facing new regulatory requirements, it may be a sign that Risk Management is needed.
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Recent incidents: If an organization has recently experienced an incident, such as a data breach, accident, or natural disaster, it is a sign that Risk Management is needed.
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Financial losses: If an organization is experiencing financial losses or is facing potential financial losses, it means Risk Management is needed.
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Reputation damage: If an organization is facing damage to its reputation, it is a sign that Risk Management is needed.
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Stakeholder pressure: If stakeholders are expressing concerns about risks, it may be a sign that Risk Management is needed.
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Lack of risk awareness: If employees or management are unaware of the risks facing the organization, it may be a sign that Risk Management is needed.
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Ad-hoc decision making: If the organization is making decisions without considering the risks involved, it is a sign that Risk Management is needed.
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Lack of continuity planning: Risk Management is needed there are no continuity plans in place.
Implementing a Risk Management program can help an organization identify, mitigate, and manage potential risks. In doing so, this will ultimately lead to a more successful and stable business.
How to conduct Risk Management
The steps for conducting Risk Management typically include:
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Risk Identification: The first step in Risk Management is to identify potential risks. This can involve analyzing both internal and external factors that could affect the organization.
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Risk Assessment: The next step is to assess the likelihood and potential impact of the identified risks. This can involve analyzing historical data, conducting surveys, and interviewing subject matter experts.
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Risk Prioritization: After assessing the risks, the next step is to prioritize them. This can involve creating a risk register to determine which risks need the most attention.
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Risk Mitigation: After prioritizing the risks, develop strategies to mitigate or manage them. Implementation requires policies and procedures, training, and awareness programs.
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Risk Monitoring: The next step is to monitor risks and ensure the controls are working effectively. Reporting and tracking is crucial to identify when events are triggered so action can be taken.
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Risk Communication: Risk Management also includes communicating the Risk Management processes, plans and results to the relevant stakeholders.
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Risk Review: The final step in Risk Management is to review and evaluate the effectiveness of risk treatments on a regular basis. This will ensure that it remains relevant over time. Assess the performance of the Risk Management program and make any necessary adjustments.
It's important to note that Risk Management is an ongoing process, not a one-time event. The steps need to be repeated periodically, or when there are significant changes in the organization or environment.
How often should Risk Management take place?
The frequency of Risk Management should be determined based on the specific needs of the organization and the risks it faces. Again, Risk Management should be an ongoing process that is reviewed and updated on a regular basis.
For most organizations, it's recommended to conduct a comprehensive Risk Management review at least once a year. This review should include a thorough assessment of the organization's risks, as well as an evaluation of the effectiveness of the Risk Management program.
Risk Management practices should also be continually incorporated into the day-to-day operations of the organization. Employees should be trained on identifying, assessing and reporting risks, and the Risk Management program should be integrated into the decision-making process.
Conclusion
Risk Management is the process of identifying, assessing, and prioritizing potential risks to an organization or individual, and then implementing strategies to mitigate or manage those risks. There are many different methodologies, models, and frameworks used in Risk Management, and it's important for organizations to select the one that best suits their needs.
Risk Management is important because it helps organizations to protect their assets, comply with regulations, improve decision-making, increase efficiency, gain a competitive advantage and protect the reputation.
Risk Management is used across a wide range of industries, including financial services, healthcare, manufacturing, energy, construction, transport, technology, agriculture, and public services.
Signals that the implementation of Risk Management is needed include increasing complexity, changing regulations, recent incidents, financial losses, reputation damage, stakeholder pressure, lack of risk awareness, ad-hoc decision making and lack of continuity planning.
It is intended to be an ongoing process that is conducted at regular intervals, and also incorporated into the day-to-day operations of an organization. Risk Management is a crucial process for organizations to identify, assess, mitigate, and manage the potential risks that would negatively affect operations, reputation, and the bottom line.
