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benefits and disadvantages of managing risk
benefits and disadvantages of managing risk
how current health and safety legislation policies and procedures are implemented in the work setting
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When trying to create a positive risk management culture as a manager it is important to make sure that all employees of my organization realize the importance of managing risk. Some of the factors to consider when attempting this approach would be: • Making sure all unforeseen events have been taken into account so that employees are self- assured when succeeding with service delivery projects; • Reassuring employees that their individual safety is always a priority; • Employees will be given the proper guidance, direction and consequences in order to gain and maintain a healthy risk management culture; • Communicate to all staff the importance of the organizations assets and resources, as well as its employees, is an important, shared responsibility. (Head and Herman, 2002, p. 97) As a manager within my organization I plan to look at things in a broader, strategic risk management view: • Counter all losses, including accidents, events that are out of the organizations direct control, and from unfortunate business judgments, • Seize opportunities for gains through organizational improvement and growth, so that risk management, at its best, enables my organization to “be all it can be.” (Head and Herman, 2002 pg. 98) I plan to encourage my staff to acknowledge potential dangers and losses, as well as develop opportunities to improve. Although, I know there is no one set way of trying to inspire a risk management culture, however I do have some steps that I plan to implement to accomplish my organizations strategic risk management goals. I plan to first set up a collection of customary beliefs that are driven from the organizations long standing commitment to self assessment, continuous improvement and comprehensive pl... ... middle of paper ... ...ovides the latest direction for the organization as it strives to inspire a risk management culture. Works Cited " Creating a Risk Management Culture." Microsoft TechNet: Resources for IT Professionals. N.p., n.d. Web. 4 Aug. 2010. . "Creating to A Culture That Enables Active Risk Management | CustomerThink." All Posts | CustomerThink. N.p., n.d. Web. 4 Aug. 2010. . Head, G. L. and Herman, M.L. (2002). Enlightened Risk Taking: A Guide to Strategic Risk Management for Nonprofits. Retrieved from http://www.nonprofitrisk.org/store/pub_detail.asp. "Workplace Safety Toolkit." Nonprofit Risk Management Center. N.p., n.d. Web. 4 Aug. 2010. .
Risk management is the system in which companies assess potential liabilities within an organization (Raso, Gulinello, 2011). Through this process information is gathered, assessed, and implemented to avoid these potential risk. Risk managers are beneficial to their organizations because not only do they save money but they can also save lives. In the hospital setting where mistakes can cost someone their lives, risk managers work to develop protocols to help prevent human error. Information is gathered through the process of evidence based practice as well as guidelines in place by best practice. Not only do they help protect the lives of the patients within the facilities, they are also responsible for ensuring staff safety. A risk manager’s responsibility is multi-faceted and complex. They will prevent potential litigations by implementing patient safety protocols, reduce risk to associates, and reduce cost to the organizations.
It is imperative that Health Care Professionals learn to manage risk. There are many factors to think about including environment, assessment, identification and prioritising when managing risk. Being able to strategically implement preventative measures will help in managing risk. Risk management works hand in hand with all enablers set out by chapelhow.
In an effective organization this can be seen in the attitudes, behaviors and systems throughout the organization. This must include commitment from every individual starting from the top down. Once this culture has been established the company must also ensure that the focus on safety does not dwindle and that the culture remains intact.
In a culture of safety and quality, all employees are focused on upholding quality in providing safe care. In order to promote patient safety in the hospital setting there should be an exhibition of teamwork irrespective of the different leadership positions. However the leaders show their obligation to quality and safety, and set capacities for their employees to perform a committed and critical role in assuring patient safety.
Creating a Culture of Safety. A culture of safety includes psychological safety, active leadership, transparency, and fairness. As a health care professional, I can create a culture of safety by having a positive attitude and creating an environment within the team that feeds off that optimistic and encouraging behavior. In addition, I can contribute to a culture of safety by using effective communication, the “Fairness Algorithm” to differentiate between system error and unsafe behaviors, and by being respectful and approachable to all my fellow coworkers and patients.
A culture of safety requires the commitment of leadership to positively impact outcomes. Recent emphasis on the new CMS guidelines and third party reimbursement initiatives associated with patient outcomes, has grabbed the attention of leadership at all healthcare organizations. Additionally, our system wide organization’s employee culture of safety survey has shown that communication and teamwork are areas were improvements are needed. Years of research on communication and teamwork in highly reliable organizations support a correlation with safety. (XX) One of the most important and highly touted Joint Commission, National Patient Safety Goals is to improve communication across the healthcare continuum. (JC .com) Additionally, the organization’s patient occurrences were reviewed through root cause analysis and the source is often linked to a failure to effectively communicate and role confusion. Well defined roles within the team model can help improve communication, including mitigating variables such as distractions, individual emphasis on the wrong information, and a breakdown in communication. (XXX) Implementation of a formal teamwork program is one way to systematically approach risk reduction within an organization. (Botwinick, L., Bisognano, M., & Harden, C., 2006) (Leonard, M., Frankel, A., Federico, F., Frush, K., & Haraden, C., 2013)
The first area that I feel would benefit from a risk management strategy is employee health, specifically in the area of post-traumatic stress disorder(PTSD). Many employers offer employee assistance programs, but these programs only cover a few sessions and just barely touch the surface of possible issues employees experience. Many employees attempt to deal quietly post-traumatic disorder symptoms and its secondary symptoms such as substance abuse,divorce and other forms of depression. Many think personal complaining of this type of issues is weak and must deal with completely on their own. However, this suddenly changes when it affects their co-workers and their employer.
Rather, it is centered around comprehension the key risks an organization confronts then going for broke at the best time in the wake of utilizing the most suitable safety measures (Valderrey, 2016). Even in the best of times, in the event that you are to oversee risk successfully, you should make to a great degree decision making ability calls including information and measurements, have an unmistakable feeling of how all the moving parts cooperate, and convey that well. In the most noticeably awful of times, risk management can go into disrepair. Recorded models can come up short, liquidity can become scarce, and relationships can get to be more grounded all of a
Comparatively, the situation encountered also influences how people perceive risk. When at work, people interact with their environment according to their experience, training and, interaction with coworkers. The employee seldom controls work related risky situations. Usually, the employer controls this factor of risk perception: what, when, where, why, and how. This is a great advantage when seeking to improve risk perception in the workplace. An employer can manipulate the employee’s surroundings in order to enhance risk perception. To accomplish this, employers can develop and implement a comprehensive risk reduction framework (Cooper, 2003).
The safety and security concerns of healthcare facilities are complex and dependent on the accountability of both the leadership as well as all employees of the organization. Healthcare organizations must continually assess for risks, allocate resources, define policies and procedures and monitor the effectiveness of these processes to ensure a safe and secure environment (Kaveler & Alexander, 2014). The purpose of this paper is to explore the elements of a risk management program within a healthcare facility by outlining the six techniques for managing safety and security risks and demonstrating how this type of assessment would apply to a managed care organization in the area of workplace violence and information technology. In addition, explanation will be provided on how the compliance program at the author’s place of employment ensures the initial and ongoing training of employees, establishment of policies and procedures and provides evaluation of these risks.
In all organizations, regardless of size, it is important for management to create a safe and nurturing environment for all employees. To create this type of environment management needs to understand: employee behavior; organizational culture; the need for diversity; a formal code of ethics; strong communication; and how to promote and manage change.
The objectives of operation, reporting, and compliance are represented in the column. Components are represented by the rows regarding the ERM. The third dimension is the entity’s organizational structure. It demonstrates clear how and how counteract low risk tolerance and high risk appetite. Risk reduction is obtained by facilitating effective internal control with a broad scope that reflects changes in the framework to risk management with ERM. The framework requires adaptability which enables flexibility due to a overlap of functions of identify, assessing, and responding to risks within operations, reporting, and compliance. Activities, information, communication should be monitored, evaluated, and identified for response are part of the ERM for effective and efficient risk management. The concept of risk appetite and risk tolerance is introduced because the identification of potential events affecting achievement can be managed. Also, the process requires communication, consultation before and monitoring and review after every decision or action (McNally, 2015). The financial principles to risk management are effective risk management creates value, integration, decision making, address uncertainty, systematic structure, and facilitated continuous improvement. The financial principles form effective and efficient management within a firm. Financial principles help ERM with risk
Identify the potential risks which affect the company and manage these risks within its risk appetite;
These types of risks also need a different approach from preventable risk and stragtic risk as companies do not know when and where these events will occur and what impact these sencerios will have on their companies. As a result companies must try to identify these risks and have conteingcy plans in place to minimize the losses associated with external risks. The problem for risk managers is that the probability of these events occurring is quite low so as a result companies need to have open and honest discussions about these types of risks and how they will affect the company should they occur. Risk management teams must work along side strategy teams to thrash out the impact of these types of risks.
...: enhancing success, minimizing failures", Academy of Management Executive, Vol. 1 No. 2, pp. 117-26.