Identification of Risk and Risk Manager

The first step of the risk management process is identification of a risk. This is the obvious requirement which has to be fulfilled by the risk manager. Risk Manager is involved in working out with different techniques which suits the organization’s environment and culture to sort out and identify the risk.

For identification of a risk, the risk manager should first understand the operations and working of organization, its culture and environment. The risk manager should also create good relationships with the workers and staff because they can help him a lot in guiding about the risk, as the workers are on the floor whole day, they know better then any other manager.

In addition to creating good links with the workers the risk manager should also have good relationships with the managers because managers know the key areas of risks which require attention and which requires proper management to avoid risks. Risk Manager should have good relations with managers of health and safety programs in work place, crisis management, internal auditors, financial managers, corporate security and executive protection mangers, product quality control managers etc.

Risk Manager should have good communication with people at all levels. Snags and difficulties are sometimes better known by the operational level workers than the managers.