In 2007, I attended a seminar on risk management where we were taught about the various aspects of risks management and the importance of risk management in life. During this life-changing event I learnt important life lessons relating to risk management.
During the seminar, I learnt that risk management is an important subject and requires a lot of attention because we are faced with risk each day. Given that I will engage in various risky activities in future, there was a need for me to be aware of various risk management strategies that I can apply in my life to manage a number of risks that may encounter in various activities. First, I learnt that it is important to understand the concept of risks management and the strategies that are available to manage risks that I may encounter in future. During the seminar, I learnt that risk management is the process by which an individual identifies ways that he or she can use to reduce the impact of a given risk on the individual's life. There are a number of risk management methods available to any given individual. The risk management strategy to be adopted largely depends on the nature of the risk and its impact on the firm or individual in question. During the seminar, I learnt about the three risk management methods that are available to an individual, namely, risk transfer, risk reduction, and risk retention.
Through the seminar, I came to understand that risk transfer involves transferring risks that one is faced with to another party so that their impact can be reduced on the individuals' life. The party involved, therefore, needs to be aware of the various insurance regulations that are in existence within their country of operation or residence. The parties involved can use hedging techniques such as swaps, option, and future contracts to protect themselves against exchange rate risks such as translation risks, economic risks and transaction risks.
The seminar enabled me to understand what risk retention entails. I learnt that risk retention as a method of managing risk involves retaining risks that are manageable and cannot be transferred to a third party. The risks that the party involved should retain are mainly those that arise from internal operations in which they are engaged (Altemeyer, 2004). The risks that the party involved can retain include those which impact is not big.
Finally, I learnt that risk reduction is a strategy where the party involved needs to employ the strategy of reducing the impact of the risk on the activities that they are engaged in, with an aim of reducing the cost of premium the company has to pay by taking insurance covers. For instance, risks relating to injuries, safety and health of its workers in the workplace can be reduced by developing guidance manuals that provide detailed information relating to procedures that should be followed by the workers as they perform their duties. This will reduce the number of cases arising from exposure to accidents and other forms of risks that are manageable and controllable.
In conclusion, the important lessons that I learnt from the seminar relating to risk management have ever since enabled me to manage a number of risks that I have encountered in my life. I have been able to apply all three risk management methods in overcoming a number of risks that been so challenging in my life especially as I engaged in business activities. The seminar on risk management for sure was a life-transforming event.
The Important Lesson that I Learnt
In 2007, I attended a seminar on risk management where we were taught about the various aspects of risks management and the importance of risk management in life. During this life-changing event, I learnt important life lessons relating to risk management.
During the seminar, I learnt that risk management is an important subject and requires a lot of attention because we are faced with risk each day. Given that I will engage in various risky activities in future, there was a need for me to be aware of various risk management strategies that I can apply in my life to manage a number of risks that may encounter in various activities. First, I learnt that it is important to understand the concept of risks management and the strategies that are available to manage risks that I may encounter in future. During the seminar, I learnt that risk management is the process by which an individual identifies ways that he or she can use to reduce the impact of a given risk on the individual's life. There are a number of risk management methods available to any given individual. The risk management strategy to be adopted largely depends on the nature of the risk and its impact on the firm or individual in question. During the seminar, I learnt about the three risk management methods that are available to an individual, namely, risk transfer, risk reduction, and risk retention.
Through the seminar, I came to understand that risk transfer involves transferring risks that one is faced with to another party so that their impact can be reduced on the individuals' life. The party involved, therefore, needs to be aware of the various insurance regulations that are in existence within their country of operation or residence. The parties involved can use hedging techniques such as swaps, option, and future contracts to protect themselves against exchange rate risks such as translation risks, economic risks and transaction risks.
The seminar enabled me to understand what risk retention entails. I learnt that risk retention as a method of managing risk involves retaining risks that are manageable and cannot be transferred to a third party. The risks that the party involved should retain are mainly those that arise from internal operations in which they are engaged (Altemeyer, 2004). The risks that the party involved can retain include those which impact is not big.
Finally, I learnt that risk reduction is a strategy where the party involved needs to employ the strategy of reducing the impact of the risk on the activities that they are engaged in, with an aim of reducing the cost of premium the company has to pay by taking insurance covers (Borodzicz, 2005). For instance, risks relating to injuries, safety and health of its workers in the work place can be reduced by developing guidance manuals that provide detailed information relating to procedures that should be followed by the workers as they perform their duties. This will reduce the number of cases arising from exposure to accidents and other forms of risks that are manageable and controllable.
In conclusion, the important lessons that I learnt from the seminar relating to risk management have ever since enabled me to manage a number of risks that I have encountered in my life. I have been able to apply all three risk management methods in overcoming a number of risks that been so challenging in my life especially as I engaged in business activities. The seminar on risk management for sure was a life-transforming event.
More read at
dissertationmasters.com/write-my-book-report.html