How to Manage Risks for the Organization without Crisis

Abstract

          At present, government agencies have given priority to risk management. The Public Sector Development Commission has determined that various government agencies make a risk management plan according to the strategic plan. In strengthening government agencies in order to achieve the goals those are set including to comply with the government administration regulations Ministry of Education 2003.  And regulations of the State Audit Commission Regarding the Establishment of Internal Control Standards 2001. The government must have a risk assessment and improve the internal control system to reduce the root cause of the risk.

          Enterprise risk management it is a management method and control various operational processes by reducing the causes and opportunities that the organization will be at risk to keep the level of risk and the magnitude of future risks being acceptable, assessable, and controllable so that the organization can achieve its objectives. Risk of every organization according to the context of that organization and divided into 4 types 1) Strategic risk, 2) Operational risk, 3) Financial and reporting risk, and 4) Compliance Risk. The risk management system will help reduce the chance of loss. And increase the chances of success of the work even more. It also resulted in a greater understanding of the work of personnel in the organization. Able to analyze, assess and be careful of the risks in their duties. This makes it possible to work more efficiently and achieve goals.