Risk Management Assignment (BP) British Petroleum Deepwater Horizon Essay

Risk Management Assignment (BP) British Petroleum Deepwater Horizon - Essay ExamplePART A Introduction Where the world is growing and enhancing at a phenomenal pace, new, modern and contemporary technologies have emerged and growing rapidly in every field of life, which has transformed the ways of living as an out induce. This has as well affected the world of commerce and has allowed the businesses to move ahead in a new direction. Investments and returns are the key aspects for a businessperson when setting up the business. However, a business always accompanies innumerable risk factors with it, whether it is the competitor threat, emerging new prospects in the industry, variations in the economic conditions, changing values of the goods or services or the fluctuations in foreign currencies. Risk is the probability or the possibility that a particular step or decision gives an adverse conclusion or makes a loss (Great Britain, pp.1, 2007). More or less, risk is a factor that all b usinesses enterprise carries however, the extent and scope of risk varies from business to business. In the old times, when the businesses were relate in more of manual activities, risk was one of the factors that were at a high level. However, nowadays, the risk factors problematical in the business erect easily come under measurement through the advancement of technologies and processes. Risk Management A course of action that determines, button down, breakdown, investigate, and either acquire and acknowledge or mollify risk or ambiguities when making a decision or while investing comes under reference of Risk Management.The aftereffects or the chain reaction whitethorn lead to huge losses if the organizations do not carry out the process of risk management in a commensurate way. One of the major examples that prove the importance of risk management is the Financial Crisis that happened in the year 2008. Through the process of risk management, the intensity of risk coupled wit h the business and its functions can come under measurement, and course of actions can undertake to eradicate or play down the risks. The businesses execute the process of risk management in arrange to spot the circumstances, conditions, or actions that may lead to adversity so that preventive measures can come under implementation in order to lessen the risks involved to overcome the consequences that may result in the catastrophe. The determination of risks through a systematic, planned, and apparent approach provides a business to evaluate, quantify, and give high importance to the risks so that adapted and pertinent steps can come under accomplishment to diminish them (Crouhy, Galai, Mark, pp. 37-54, 2006). The organizations prime goal and vision is to generate revenue, make profits for themselves and another(prenominal) stakeholder, augment their worth in the market, and create a good will. Therefore, one cannot neglect the fact that risk management is of utmost importance fo r any organization. In order for a business to flourish and prosper, risk management is one of the essential and elementary aspects and functions that a business should consider and undergo. Risk management is