Risk management plans are a lot like seat belts for businesses. They require a minimal investment of time but can make a world of difference. Most business owners and leaders are familiar with the term “risk” when it comes to business management, but many aren’t exactly sure how to define, evaluate or address it in the workplace. As a provider of integrated environmental consulting and engineering services, ATC Group Services takes a proactive and comprehensive approach to managing risks for our
Uncertainty and Risk in Business
Virtually any type of activity or process is exposed to some elements of uncertainty. The costs of materials and other supplies are subject to fluctuations in the market, which can throw off the budget for an entire project. Employees working on site may become
injured due to an accident or are unable to work due to bad weather, leading to loss of productivity and potential liability for the company. The losses that could be incurred by any of these uncertainties is called risk, and it’s essential for businesses to account for when planning for the future.
Unfortunately, many sources of uncertainty are partially or completely out of the control of an individual company. Companies can’t completely shield themselves from the effects of all potential disasters, but they can prepare themselves ahead of time to mitigate the negative impact. Every business should take the time to establish a complete risk management plan to maximize their chances of survival and success in the face of a crisis.
Creating an Effective Risk Management Plan
Basic steps for creating a risk management plan:
- Select a team of qualified personnel
- Examine all operations to identify uncertainty
- Assess and prioritize potential sources of loss
- Establish methodology that accounts for risks
Managing risk requires foresight, planning and attention to detail, as well as intimate knowledge of all the different moving parts required for a company to function. A thorough plan accounts for disruptions in supply chains, safety liabilities, material quality and a host of other factors. That’s why the first step in creating a plan is to put together a team of senior employees, company leaders and experienced consultants who can shed insight on both specific procedures and general operations.
Risk management personnel must examine every aspect of the company’s operations to find points of uncertainty, where elements outside of the organization’s control could impact their well-being. Then, they need to assess the extent of each risk so they can prioritize them according to their total potential losses and likelihood of occurring. Once threats have been prioritized, the company can establish repeatable and reliable methods for reducing the severity of identified risks.
How ATC Group Services Manages Client Risk
As a professional consultancy in the construction and environmental engineering sector, ATC Group Services dedicates significant resources to managing risks for our clients. In fact, risk management is one of the core solutions that we offer to businesses that take advantage of our integrated environmental consulting and engineering expertise. Identifying and accounting for all the “what could go wrong” questions is standard practice for our team.
Several of our primary services revolve around risk management, including:
- Industrial Hygiene and Regulatory Compliance
- Construction Materials Testing
- Site Investigation and Remediation
- Due Diligence
- Geotechnical Engineering
Industrial hygiene is a broad concept that describes a company’s impact on the health of the local community and livability of the environment. Clean and green practices are becoming increasingly commonplace, and many of these initiatives are enforced by regulatory bodies. We also conduct extensive testing and special inspections of materials used in our construction projects as well as the terrain on site to identify potential issues that may arise as the project proceeds.
A Personal Approach to Risk Management
The most important thing to remember about risk management is that it needs to be tailored to fit each company. There are plenty of general strategies and techniques for creating a plan, but the actual analysis and development of a prevention methodology requires intimate knowledge of an individual business. ATC Group Services believes in the personal and hands-on approach to risk management, which is why we dedicate consulting time to connecting with clients and understanding the complex fabric of processes that make them unique.
Contact us today to learn more about how ATC Group Services can help your business
develop and implement an effective risk management plan.