IRM Has The Winning Strategy To Achieve Financial Freedom
The real objective of IRM is to reduce client fear about unknown and unexpected events and to create confidence in the future. In its broadest terms, IRM is concerned with the planning, arranging and controlling of activities and resources in order to minimize the impact of uncertain events. Every trade has certain hidden risks which may be called ‘Organizational Risks’ and IRM team work hand in hand with its client to identify and cover these risks so that clients can confidently focus on their Organizational Goals.
All Business firms must have well defined Objectives/Goals. One of the major objectives is the ‘Maximization of Profits’. Other important goals are maximization of the rate of return on investments, high productivity, stability of financial results, economic growth and expansion etc. Risk Management policies and strategies will have to be decided in the overall context of Organizational Culture and especially in the light of the Corporate Objectives. Just as cutting the costs of raw material or labor or overheads adds to profits, reducing the cost of accidental losses also adds to the profits. Indirectly, effective Risk Management also contributes to increase in revenue. Thus, the role of the risk manager assumes great significance. The cost of accidental losses and the uncertainty regarding such losses may act as a deterrent to management to commit capital to otherwise potentially profitable new ventures.
