The most difficult and important step in risk management process and one that can lead to a risk manager being

Question

Question: The most difficult and important step in risk management process and one that can lead to a risk manager being terminated if it is not conducted properly is

Options:

1.  Risk identification, particularly those risks that are foreseeable
2.  Finding the least costly insurer to cover all the risks that may impact an organization
3.  Determining an appropriate premium for the pure and speculative risks
4.  Selecting the best method for handling risk
5.  Hiring a highly trained accountant to create a tax-sheltered captive within the organization

Answer 1

1. Risk identification, particularly those risks that are foreseeable

The most difficult and important step in risk management process and one that can lead to a risk manager being terminated if it is not conducted properly is Risk identification, particularly those risks that are foreseeable.

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More information:

Risk identification is the process of determining the potential risks that could prevent a system or business from achieving its objectives. It involves documenting and transferring to others.

It is most difficult and important step in risk management process.