Poorly managed risk leads to waste
There is no business or project without risk but risk can be reduced by excellence of execution in all business processes.
Risk is mostly categorized as either preventable risk, strategy risk and external risk. Find out more about a fourth category of risk in the video below.
Consequently, these inidentified risks are either not managed at all or only in a non-systemic way. Poorly managed risk lead to avoidable waste.
Common examples of poorly or unmanaged business risks are:
- Poorly defined customer requirements
- Poor product or project planning and management
- Unidentified optimization options in systems and processes
- Poor cost management
- Poor execution of processes
- Non-value added activities and scrap material
- Lack of robustness of the business model.
Our tools and training materials will guide you to analyze your processes and our tools will help you manage risks.
Click here to read more about the types of risks in innovation projects.