Risk Management in Human Resources

Abstract

          Presently all businesses are facing some kind of risk.  The result of risk can affect business outcomes.  As a result, managers must adopt risk management as a tool for sustainable growth.  Business operation risk may occur due to external and internal factors. The external factors include economics, politics and technology whereas the internal factors are finance, production, policies and human resource management.  Humans are also a vital means of success.  To achieve business goals, managers must not only be concerned with money, materials and technology but also with humans.  In order to implement risk management in human resources, managers must establish objectives, identify and access the risks, respond to the risks and control the risks. To achieve risk management effectiveness, managers must provide and support resources.  Moreover, all administrators and employees must be involved in risk management.