Risk Management At The World War II Essay
What is risk management? Risk management is a process for identifying, assessing, and prioritizing risks of different kinds. Risk managers typically use the term loss exposure to identify potential losses. The idea of using risk management is to protect businesses from being weak. It also protects the employees, customers, and the general public from events involving natural disasters or acts of terrorism. Risk management is also about preserving the physical facilities, data, records, and physical assets a company owns or uses. Having a risk management plan is an important part of maintaining a successful and responsible business/company. Every business/company should have one. It will help to protect people as well as physical and financial assets. (“What is Risk Management?”).
The study of risk management began after World War II. The ability to manage risk is the key that feeds the economic system. The word risk comes from ancient Italian risicare which means to dare. In that sense, risk is an option, not a fate. Before risk management existed, faith and luck were the two pillars of managing risks. Event have causes and believing in luck obscures the causes. (Vargas, R., 2009). The great conflicts and the great disasters all affected and contributed to the development of risk management. Other particular events has also contributed to the existence of risk management. In 1900, the Galveston Texas flooding changes the nature of weather prediction…