The risk assessment process consists of risk identification, risk analysis, and risk evaluation (Fraser & Simkins, 2010 p. 11). Risk identification involves identifying risks that are associated with the organization decisions, policies, and guidelines. It uses historical data in relation to credit risks, operational risk, market risks, technological risks, human behavior risks, country risks, and any other risks that may be deemed appropriate. If can be useful and necessary to use scenarios as this can be a realistic situation. Risk analysis gives the understanding of the risk and allows the organization, human resource, or risk management employee to determine if the risk is severe or not and if to take actions to prevent it, correct it,
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On-site inspections will be used to identify risk as on-site inspections allows first -hand knowledge of hazardous conditions, culture, and behaviors at the store; in addition, it allows the consultant or risk management employee to get familiar with the store and gain first-hand knowledge of how the store operates (Fraser & Simkins, 2010 p. 11). Interacting and talking with employees in other departments will determine if there is consistency among the company owned stores, authorized and how the stores affect other departments such as customer service. Reports will assist in changes that occurred in the past and communicate if there are any changes in the near future. Mismanagement, equipment loss, and lack of adhering to policies can be identified in reports as well. The questions in the checklist allows the risk management employee to check off and should include questions about equipment offerings, policies, compliance with equipment, sales goals, environment, culture, customer interaction and document handling. The purpose of doing a store inspection will allow observations to be made and to see if stores are in compliance with the checklist and even make notes about strengths and area of opportunities seen that are not on the checklist. Inspections should be done unannounced
On-site inspections will be used to identify risk as on-site inspections allows first -hand knowledge of hazardous conditions, culture, and behaviors at the store; in addition, it allows the consultant or risk management employee to get familiar with the store and gain first-hand knowledge of how the store operates (Fraser & Simkins, 2010 p. 11). Interacting and talking with employees in other departments will determine if there is consistency among the company owned stores, authorized and how the stores affect other departments such as customer service. Reports will assist in changes that occurred in the past and communicate if there are any changes in the near future. Mismanagement, equipment loss, and lack of adhering to policies can be identified in reports as well. The questions in the checklist allows the risk management employee to check off and should include questions about equipment offerings, policies, compliance with equipment, sales goals, environment, culture, customer interaction and document handling. The purpose of doing a store inspection will allow observations to be made and to see if stores are in compliance with the checklist and even make notes about strengths and area of opportunities seen that are not on the checklist. Inspections should be done unannounced