Many entities plausibly agree that it bears numerous risks but encounter certain levels of unsuitability in managing them. The prospect of entertaining risks for an individual or group might somehow range from manageable to catastrophic but nevertheless, many have formed an idea that risk is unavoidable and can be mitigated through different strategies. In view of the inevitable, some have envisioned and made sure that the downside of risks never occurs.
For others who are more realistic, risk mitigation is a more reasonable approach and reducing its negative effects is the best coping strategy. Trying to eliminate all risks may not be as effective for many but risk management strategy for an underlying occurrence of risk is highly efficient and feasible. Even centrally planned businesses try to eliminate risks through planning, price setting while economies are involved in the public ownership of produce. Other entities however concentrate on risk coping as a residual strategy to relieve the impact of risks once it has occurred.
In different types of social arrangements, certain instruments are seen to effectively manage risks. An entity, whether informal, market-based or public may employ risk reduction, mitigation or coping as a defined strategy to approach any associated risks and treat or temperate it. It is however fruitful for any organization to examine its status in order to endorse appropriate and useful actions for the application of mitigating the risks. In most times, a risk’s intensity is associated with the scope of an organization’s application.
Business and economic enterprise need only to take a hard look at the greater probabilities of industries and economies to take in risks and find that anyone for that matter involved socially with others ran a great risk of facing foreseen and unforeseen disasters. Relevant business practices have therefore sought the guidance of Information Technology in its relevant policies, procedures in order to configure risk management. As an incentive of control for business and social enterprise, the 21st century has catered in innovative programs with pragmatic guidelines to approach and lessen risks.
Information Technology has provided a complex set of protocols designed identify, prevent, address or even measure common issues and problems within an organization. In many studies and cases, Information Technology can well be provided with a database that can be a repository of information and can aid faster in the identification of issues. Having a full length of informative issues and a full range of management approaches can therefore aid definitely in the planning of small and large projects.
Associated risks can be identified with an early warning system and a list of action plans are also made available in the event of an actual risk. In some cases, risk management efforts fail despite the aid of Information Technology. It is therefore the main aim of this study to look into the different cases in order to assess and take in the mistakes committed in the traditional cycle of organizations employing Information Technology to identify and mitigate risks.