Why do you think Risk Assessment and Priorotization is essential in the Risk Management Process? *Risk...

Why do you think Risk Assessment and Priorotization is essential in the Risk Management Process?

*Risk Assessment and Prioritization

Expert Solution

Risk Assessment is the process of identifying the risks of a business, and ranking the risks from high-low or low-high is known as risk prioritization.

Risk Assesment and Prioritization is important to handle the risks more effectively and to minimize them. For example Apple is going to launch a new product in the market. Before that it has to make a list of the risks that might be present. If it is going to set a high price for the product then to what extent it is going to affect the sales or profitability of the company. Thus risk assessment helps to take better business decisions, implement effective internal control and minimize fraud. Risk prioritization is important because there are various risks and one cannot deal with them at a time. Therefore it is important to categorize these risks on the basis of the nature of risk or level of risk which may be high, moderate and low and then lay emphasis on them accordingly. This will lead to better management of risks.

ekkarill92 answered 2 years ago

Management tends to focus on residual risk instead of inherent risk. Why do you think this...

Management tends to focus on residual risk instead of inherent risk. Why do you think this is so? Why should internal auditors consider both inherent risk and residual risk when planning an assurance engagement?

Using the risk management process each student is to perform a Risk Assessment on a vocational...

Using the risk management process each student is to perform a Risk Assessment on a vocational area of their choice. This may be a department within the college, a business structure they are aware of, or any other vocational area. The student is to use the forms developed in risk management task, and submit them to you (the assessor) at the conclusion of their review As part of this task, each student is to record: - who was involved in...

Discuss the following related to property management process: (3 Marks) Inherent risk assessment Control risk assessment...

Discuss the following related to property management process: Inherent risk assessment Control risk assessment Analytical procedures Answer: Explain disclosure assertions issues related to investments Audit? (2.5 Marks) Answer: For each of the following substantive procedures, first note whether it is a test of details of transactions or a test of details of account balances. Then decide for which assertion the test provides the best evidence. (2.5 Marks) Trace large cash receipts and payments to the source documents and the general...

Do you think “management by exception” is an appropriate management approach? Why or why not? Would...

Do you think “management by exception” is an appropriate management approach? Why or why not? Would you prefer to manage by something else (for example, by rule, by law, by the seat of your pants)?

Describe the steps in the policy cycle. How do risk assessment and risk management inform the...

Describe the steps in the policy cycle. How do risk assessment and risk management inform the environmental health policy cycle?

Define risk management in the context of the five-step risk management process. Why is it so...

Define risk management in the context of the five-step risk management process. Why is it so important to manage risk?

Risk management is an important part of the project management process, how much time do you...

Risk management is an important part of the project management process, how much time do you believe should be spent on the process within the scope of the project? What process should the project manager take to identify the risks? Discuss the risks that are common in project management. Provide examples.

2. Discuss the following related to property management process: a. Inherent risk assessment b. Control risk...

2. Discuss the following related to property management process: a. Inherent risk assessment b. Control risk assessment c. Analytical procedures 3. Explain disclosure assertions issues related to investments Audit? (2.5 Marks) 4. For each of the following substantive procedures, first note whether it is a test of details of transactions or a test of details of account balances. Then decide for which assertion the test provides the best evidence. (2.5 Marks) a. Trace large cash receipts and payments to the...

1.What is targeted mutagenesis? Why do you think it is essential for structure and function analysis...

1.What is targeted mutagenesis? Why do you think it is essential for structure and function analysis of a proteins? Outline the rationale and describe with two independent examples. 2.What have we learned from human genome? Why do you think more and more numbers of sequencing is essential to understand the variations as well as treating a disease? Provide explanation with examples

How do you approach risk assessment in a hospital?

Question