Factors That Influence Risk Management

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In this contemporary world, there are many interesting happen all around the globe with the help of technology advanced. Hospitality, tourism and events are some of the largest industries due to the fact that there have been an increasing demand for these sectors in recent decades. That’s why the concern for risk management practices is also on the rise as there have been number of report on unfortunate incidents related to safety measures in the three sectors. The development of risks study and its implication have been adopted as people now aware of their own safety and others as well. Therefore, this essay want to address different factors that influence risk management decision and how to minimise the chance of that could…show more content…
The level of risks is associated with different managing method, particularly in crisis and disaster management situation due to its size and impact on society. Natural disaster is unavoidable therefore there have been many attempts to reduce the impact while crisis indicates either man-made disaster or highly uncommon events that can be predicted (LRG 2012). According to NSW Government (n.d) risk management process is divided as the following steps • Establish the context • Identify the risk • Analyse the risk • Evaluate the risk • Treat the risk The concern areas for risk assessment include administration, marketing, crowd management, health, safety, security, and transport (Bennett 2012). Nevertheless, its influences can arise from internal and external environment while the precise outcomes are hard to estimate and control, organisation then need to construct a strategic risk management plan for specific departments or projects to eliminate and minimise the possibility. It will reassure company’s stakeholders that the safety is the priority objective as well in case of law suit occurs, the organisation has already established appropriate legal responsibility measures and duty of care. Risk Management - Tourism First section of risk management that the essay will discuss is surrounding tourism industry. There are number of catastrophic disasters have occurred all around the world. The casualty and damages are immeasurable.
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