Most of the content and risks faced by the enterprise are overlapping and do not overlap in separate memories.

For risks that cannot be identified, companies can only adopt risk-taking

For the identified risks, the reasons for taking them

For major corporate risks, companies generally should not adopt risk-taking

①Exit the market to avoid competition ②Reject counterparties with bad credit ③Outsourcing high-risk work ④ Discontinued products with hidden dangers ⑤ Financial speculation is prohibited ⑥ Employees are not allowed to access certain websites or download certain content

Insurance

Non-insurance transfer of risk - such as service guarantees

risk securitization

Generally it will not directly reduce the overall risk of the enterprise.

Risk portfolio must be involved

The forms include property compensation, labor compensation, material compensation, etc.

Such as the enterprise's own risk reserves or emergency capital, etc.

Reduce loss or reduce probability

Generally, [Loss Only] is used when the probability of occurrence cannot be judged or no judgment is needed.

Use [Probability only] in simple situations where the possible outcomes are only good or bad, right or wrong, whether or not, win or lose, life or death, etc.

The expected value method combines the two methods of probability and maximum loss [probability loss]

Variance or standard deviation are usually used to express volatility [probability loss]

Under normal market conditions, in a given time period and a given confidence interval, the maximum loss that is expected to occur [Probability Loss]

Used when statistics are insufficient or when the outcome to be measured includes people's preferences

Use financial means to manage risk

Valid for both controllable and uncontrollable risks

① It neither changes the possibility of risk events nor the degree of direct losses caused by risk events.

②Higher quantitative standards

③Generally does not include reputational and other risks whose value is difficult to measure

④Highly technical

The purpose of traditional risk management is to reduce the risks borne by enterprises. Contrary to loss management, companies may take additional risks by using financial instruments to improve the company's financial position and create value.

Anticipated loss financing is working capital

Unexpected loss financing is risk capital

In addition to the capital required for operations, additional compensation is required for financial losses caused by risks

risk reserve

Common forms include a company obtaining a credit line from a bank to meet operating needs under specific conditions, risk compensation

Insurable risks are pure risks, opportunity risks are not insurable, and risk transfer

Controlled by the parent company, it does not conduct business in the insurance market, but can contract other businesses through leasing

Stimulate and encourage a group of knowledgeable and risk-informed people to speak out and engage in collective discussion

Solicitation of opinions back to back, repeated consultation, anonymous publication, no discussion

Analyze processes to identify risks and risk factors

Consider whether significant impacts are likely to provide a framework for prioritizing enterprise risks

Graphical techniques for mutually exclusive consequences after an initial event occurs

It is a bottom-up analysis method that can be used to analyze and review potential failure modes of the system.

Anticipate threats and opportunities by simulating uncertainty scenarios

Usually used to analyze complex repairable systems that exist in multiple states

When the project factors change to a certain extent, the change rate of the main economic indicators is calculated, and is commonly displayed in a tornado chart.

Use a tree diagram analysis to give the expected value of each possible path and compare it to provide a basis for decision-making