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When you’ve completed your risk assessment, the next step is to create a treatment plan for your identified unacceptable risks. The risk treatment plan aims to increase the likelihood and impact of positive events and reduce or remove the impact of negative ones.
The Australian Government has developed a simple risk analysis template to help you identify the potential risks your business might face and how you can control or minimise these risks.
You can transfer or share some of your business risks, for example, by:
Be aware that the risks may still have impacts on your business. For example, purchasing insurance requires ongoing payments and usually an excess. If an event occurs that requires you to claim on your insurance, it may take time to get back to business as usual.
If you can’t reduce a risk to an acceptable level, you may decide to avoid the activity that creates the risk.
But that may also mean missing out on opportunities for your business, so avoiding risks should be a last resort.
Risks to your business are likely to change as your business, industry or customer base changes.
To allow for this, make sure your risk management plan includes steps to:
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