Risk factor: it is the condition or potential cause that produces and induces risks, and it is the direct cause of losses. The manifestations of risk factors are different in different fields. According to its nature, it can be divided into physical risk factors, moral risk factors and psychological risk factors.
Risk accident: it is an accidental event that causes loss of life and property, and it is the medium that leads to loss.
Risk loss: refers to the abnormal and unexpected reduction of economic value, usually measured in monetary units. And all the above conditions must be met before it can be called a loss.
What are the basic elements of risk?
Risk consists of three basic elements: risk factors, risk accidents and losses.
1. Risk factors
Risk factors refer to the reasons and conditions that lead to or increase the probability of risk accidents or expand the scope of losses. Generally speaking, according to the nature of risk factors, it can be divided into three types: entity risk factors, moral risk factors and psychological risk factors.
Substantive risk factors, also known as physical risk factors, are tangible factors that can directly affect the physical functions of things.
Moral risk factors are intangible factors related to people's moral cultivation, that is, the reasons or conditions that lead to the destruction of social wealth or personal injury or death due to personal dishonesty, dishonesty or improper attempts to promote risk accidents.
Psychological risk factors are intangible factors related to people's psychological state, also known as disciplinary risk factors. It is due to people's subjective negligence or negligence, which increases the probability of risk accidents or expands the degree of losses.
Among the above three risk factors, moral risk factors and psychological risk factors are related to human behavior, so they are classified as intangible risk factors or man-made risk factors.
2. Risk accidents
Risk accidents refer to accidents that cause loss of life and property.
Step 3 fail
Loss refers to the unintentional, unexpected and unplanned reduction of economic value.
Risk is a unity composed of risk factors, risk accidents and losses. The relationship between the three is:
(1) Risk factors refer to the conditions that lead to or increase the probability of risk accidents or expand the scope of losses, and are the potential causes of risk accidents;
(2) Risk accident is an accidental event that causes loss of life and property, a direct or external cause of loss, and a medium of loss;
(3) Loss refers to unintentional, unexpected and unplanned reduction of economic value. Therefore, the occurrence of risk accidents will cause losses.
The concept of three elements of risk and their relationship.
1. Definition of risk management
Definition: Risk management, also known as crisis management, refers to the management process of how to minimize risks in an environment where risks are certain. It includes risk measurement, assessment and emergency strategy. The ideal risk management is a series of prioritization processes, which give priority to the things that can cause the greatest losses and the most likely to happen, and postpone the things with relatively low risks.
But in reality, the optimization process is often difficult to decide, because the risk and the possibility of occurrence are usually inconsistent, so we must weigh the ratio of the two to make the most appropriate decision.
Risk management also faces the problem of effective use of resources. This involves the factor of opportunity cost. Using resources for risk management may reduce the resources available for incentive activities; The ideal risk management is to resolve the biggest crisis as much as possible with the least resources.
"Risk management" is a compulsory subject for western business executives who invested in China in the 1960s and 1990s. At that time, "risk management" was added to many MBA courses.
Risk management (risk management)
The process of weighing the benefits and costs of reducing risks and deciding what measures to take.
The process of determining the reduced cost-benefit trade-off scheme and deciding the action plan (including deciding not to take any action) becomes risk management.
2. Every step of risk management
For modern enterprises, risk management is to identify, predict, measure and choose effective means, reduce costs as much as possible, and deal with risks in a planned way, so as to obtain economic guarantee for safe production of enterprises. This requires enterprises to identify possible risks in the process of production and operation, predict the negative impact of various risks on resources and production and operation, and make production sustainable. It can be seen that risk identification, risk prediction and risk treatment are the main steps of enterprise risk management.
2. 1 risk identification
Risk identification is the first step of risk management. Only on the basis of comprehensive understanding of various risks can we predict the possible harm caused by risks and choose effective means to deal with them.
There are many methods of risk identification, and the common methods are:
2. 1. 1◆ Production process analysis method
Production process analysis is a comprehensive analysis of the whole production and operation process of an enterprise, which analyzes the possible risks in each link item by item and finds out various potential risk factors. Production process analysis method can be divided into risk enumeration method and flow chart method.
1. Risk enumeration method means that the risk management department lists all risks of each production counterattack according to the production process of the enterprise.
2. Flowchart method means that the enterprise risk management department systematizes, serializes and makes flowcharts of all links in the whole enterprise production process in order to find out the risks faced by the enterprise.
2. 1.2◆ financial statement analysis method
The financial statement analysis method is to identify and discover the risks faced by the existing assets and liabilities of an enterprise by analyzing its balance sheet, income statement, business report and other relevant materials.
2. 1.3 insurance survey method
There are two ways to identify risks through insurance investigation:
Through the insurance list, enterprises can choose the insurance that suits their needs according to the insurance company's insurance list or special insurance publications. This method only identifies insurable risks, but can do nothing about uninsurable risks.
Entrust an insurer or an insurance consulting service agency to investigate and design the risk management of this enterprise, and find out the risks existing in various properties and liabilities.
2.2 Risk prediction
In fact, risk prediction is to estimate and measure risks. Risk managers use scientific methods to systematically analyze and study their statistical data, risk information and the nature of risks, so as to determine the frequency and intensity of various risks and provide basis for choosing appropriate risk treatment methods. Risk prediction generally includes the following two aspects:
2.2. 1 Probability of predicting risks: Through data accumulation and observation, the regularity of losses is found. For a simple example, if there is a fire in ten of the ten thousand houses within a period of time, the probability of the risk is11000. Therefore, it is mainly to prevent high probability risks.
2.2.2 Predicting the intensity of risks: assuming that risks occur, it will lead to direct losses and indirect losses of enterprises. It is easy to cause direct losses and losses ... >>
What are the elements of risk?
Risk elements are composed of risk factors, risk accidents and losses. Risk factors increase or produce risk accidents, which cause losses. The series connection of the three constitutes the risk formation mechanism.
Risk factors are the conditions to promote and increase the frequency or severity of losses, which can be divided into tangible risk factors and intangible risk factors. Tangible risk factors are material risk factors that directly affect the physical function of things. Intangible risk factors refer to intangible factors such as culture, customs and attitude towards life that affect the possibility of loss and the degree of damage. It can be further divided into moral risk factors and psychological risk factors.
Risk accident is the direct or external cause of loss, and it is the medium to turn the possibility of loss caused by risk into reality.
Loss refers to the unintentional, unexpected and unplanned reduction or disappearance of economic value. Loss management refers to taking conscious actions to prevent or reduce disasters and accidents and the resulting economic and social losses. Its objectives are divided into two types: first, before the loss occurs, completely eliminate the root causes of the loss and minimize the frequency of the loss; The second is to minimize the loss after the loss occurs. Risk components: cause-cause-generation.
Three elements of risk management and their contents
What are the three elements of financial risk?
1. Risk factors: related entities engaged in financial activities;
2. Risk accidents: unexpected changes of some factors (unplanned, unexpected and unintentional);
3. Possibility of loss: possibility of economic loss.
Financial risk management
1. Internal control and comprehensive risk management
1. Internal control structure: control environment, risk assessment, control activities, information and communication and supervision;
2. Comprehensive risk management framework
(1) Enterprise objectives: strategic objectives, business objectives, reporting objectives and compliance objectives;
⑵ Risk management elements: internal environment, target setting, event identification, risk assessment, risk countermeasures, control activities, information and communication, and monitoring;
⑶ Enterprise level: the whole enterprise, all functional departments, all business lines and subordinate subsidiaries.
The process of total risk management: risk identification, assessment, classification, control, monitoring and reporting.
Third, credit risk management.
1. Mechanism management: loan-review separation mechanism, authorization management mechanism and quota management mechanism.
2. Process management
⑴ Manage the "5Cs" in advance: repayment ability, capital, character, collateral, operating conditions,
"3c": cash flow (cash flow), management (control) and business continuity.
(2) In-process management
(3) afterwards management
4. Market risk management
1. interest rate risk management method
(1) Choose a favorable interest rate;
(2) adjusting the loan term;
(3) gap management;
(4) Time limit for a project management;
5) Use interest rate derivatives for trading.
2. Exchange rate risk management methods
(1) Choose a favorable currency;
(2) Advance or postpone foreign currency receipt and payment;
(3) structural hedging;
(4) conducting forward foreign exchange transactions;
5] Trading currency derivatives.
3. Investment risk management methods
(1) Stock investment: buying up and selling down, diversifying investment, buying funds, stock index futures or options;
⑵ Financial derivatives investment: strengthen system construction, manage the quota, hedge and hedge the risk exposure.
5. Operational risk management
1. system management
2. Information system management
3. Process management
4. Staff management
5. Risk transfer
Liquidity risk management:
1. Maintain liquidity of assets
2. Maintain the liquidity of liabilities
3. Comprehensive management of liquidity of assets and liabilities.
Management of legal risk and compliance risk
1. Strengthen cultural construction
2. Strengthen organization and system construction.
3. Strengthen human resource management
4. Strengthen process management
Eight-country risk management
1. Management methods at the national level
2. Enterprise management methods
Nine reputation risk management
What are the risk factors?
one's nature
1. pure risk: pure risk refers to the risk that only opportunities are lost and there is no possibility of profit. For example, the fire risk faced by house owners and the collision risk faced by car owners. When there is a fire collision, they will suffer economic losses.
2. Speculative risk: Speculative risk is relative to pure risk, which refers to both the risk of losing opportunities and the risk of possible profits. There are generally three consequences of speculative risk: first, there is no loss; Second, there are losses; The third is profit. For example, buying and selling stocks in the stock market has three consequences: making money, losing money and not losing money, so it belongs to speculative risk.
According to the goal
1. Property risk: Property risk refers to the risk of damage, loss or devaluation of all tangible property and the risk of economic or monetary loss. Such as factories, machinery and equipment, finished products, furniture, etc. Will suffer from fire, earthquake, explosion and other risks; During the voyage, ships may suffer from risks such as sinking, collision and grounding.
Property losses usually include direct losses and indirect losses of property.
2. Personal risk: Personal risk refers to the risk of disability, death, loss of work ability and increased medical expenses due to guidance. For example, people will die young, disabled, incapacitated or helpless in old age due to physiological laws such as birth, aging, illness and death and natural, political and military reasons.
There are generally two kinds of losses caused by personal risks: one is the loss of income ability; One is the loss of extra expenses.
3. Liability risk: Liability risk refers to the risk of causing property loss or personal injury to others due to negligence or negligent behavior of individuals or groups, and bearing civil legal liability according to law, contract or morality.
4. Credit risk: Credit risk refers to the risk that the obligee and obligor suffer economic losses due to one party's breach of contract or violation of law in economic exchanges. For example, in import and export trade, exporters (or importers) will suffer economic losses because importers (or exporters) fail to perform contracts.
According to behavior
1. specific risk: the risk that has a causal relationship with a specific person, that is, the risk caused by a specific person, and the loss only involves a specific individual. Such as fire, explosion, theft, other people's property damage or personal injury, etc. all belong to this category.
2. Basic risk: the risk that its damage will spread to society. The cause and effect of basic risk has nothing to do with specific people, at least it is a risk that individuals can't stop. Social or political risks and risks related to natural disasters are basic risks. Such as earthquake, flood, tsunami and economic recession.
According to the production environment
1. Static risk: Static risk refers to the risk of loss or damage caused by irregular changes of natural forces or people's negligence under normal social and economic conditions. Such as lightning, earthquake, frost, storm and other natural causes of loss or damage; Loss or damage caused by fire, explosion, accidental injury, etc.
2. Dynamic risk: Dynamic risk refers to the risk of loss or damage caused by changes in social economy, politics, technology and organization. Such as population growth, capital increase, improvement of production technology, changes in consumer preferences, etc.
According to the reason
1. Natural risk: Natural risk refers to the risk that social production and social life are threatened by irregular changes in natural forces. Natural phenomena such as earthquakes, storms, fires and various plagues occur frequently and in large numbers. Among all kinds of risks, natural risk is the most insured risk by insurance companies.
Natural risks are characterized by:
(1) Uncontrollability of natural risk formation
(2) The periodicity of natural risks.
(3) The consequences of natural risk accidents are * * *, that is, once natural risk accidents occur, they often involve a wide range of objects.
2. Social risk: Social risk refers to the risk that social production and people's lives will suffer losses due to the actions (including negligent actions, improper actions and intentional actions) or omissions of individuals or groups. Theft, robbery, dereliction of duty, vandalism and other acts may cause property damage or personal injury to others.
3. Political risk (country risk): Political risk refers to reasons beyond the control of both parties due to political reasons or in the process of foreign investment and trade; The risk that creditors may suffer losses. The import of goods is suspended due to war or civil strife in the importing country; Because the importing country implements import or foreign exchange control.
4. Economic risk: Economic risk refers to the risk of business failure due to the influence of various market supply and demand relations, economic and trade conditions and other factors or the decision-making mistakes of operators in production and sales activities, such as deviation from prospect expectations. For example, the increase or decrease of production scale and price fluctuation of enterprises ... >>
What are the three elements of risk?
Risk factor: it is the condition or potential cause that produces and induces risks, and it is the direct cause of losses. The manifestations of risk factors are different in different fields. According to its nature, it can be divided into physical risk factors, moral risk factors and psychological risk factors.
Risk accident: it is an accidental event that causes loss of life and property, and it is the medium that leads to loss.
Risk loss: refers to the abnormal and unexpected reduction of economic value, usually measured in monetary units. And all the above conditions must be met before it can be called a loss.
What are the three elements of risk?
Risk factor: it is the condition or potential cause that produces and induces risks, and it is the direct cause of losses. The manifestations of risk factors are different in different fields. According to its nature, it can be divided into physical risk factors, moral risk factors and psychological risk factors.
Risk accident: it is an accidental event that causes loss of life and property, and it is the medium that leads to loss.
Risk loss: refers to the abnormal and unexpected reduction of economic value, usually measured in monetary units. And all the above conditions must be met before it can be called a loss.