Skip to Main Content
Home » Blogs » 3 Ways to Mitigate Major Risk Events

Blog

3 Ways to Mitigate Major Risk Events

rpa-big

The current pandemic is pretty much the most significant disruption we have ever experienced. In the containment of the risk impact, and ensuring operational continuity, here are three main categories to be considered. (There are more than three, but these are a good start for a process-centric model.)

Identify Critical Processes

This is not surprising. With a process-centered model, you need to identify critical processes. It is important to reduce the risks not only from a high strategic level, but also from an operational process level.

When the inherent risk increases, are the current controls sufficiently effective? To answer this, we need a risk management system that also captures the effectiveness of control. For this level of detail, we need a process oriented business model. This makes it possible to quickly identify and mitigate the risk and improve the ability of business operations to continue.

Identify Critical Supply Chain

Knowledge of the locations of the components of your supply chain is crucial and is directly related to operational processes and the resources concerned. Only in this way, you can analyze your workflows, which are regional problems and identify the potential for global disruptions.

In addition, understanding these connections makes restoration possible when services come back online.

Identify Critical People

This is particularly important in the event of a large-scale disruption. Implement a backup strategy of responsibilities to ensure that key processes are always covered. This will enable an ongoing positive customer experience as well as maintain operational business continuity.

When utilizing a process-centric business model, you will reduce the time lost trying to determine who is responsible for making decisions and solving problems as they occur.

This also underlines the importance of documenting processes and keeping them up to date. When inherent knowledge is readily available, people can be onboarded quickly and effectively improve their work. These processes should include supporting systems necessary for employees who work remotely.

Another important aspect is recovery. How do you bring people back online? What employees or production sites are in affected zones? Understanding the degree of impact is extremely important when planning to restore the workflows.

For even more information on this topic, download our latest whitepaper, Dealing with Uncertainty & Disruption with Effective Risk Management.

Related Posts

Business Modeling During & After Major Disruptions

  • clock February 26, 2021
  • author-icon Ed Maddock
  • 0 comments

When it comes to business modeling during and after major disruptions, you can safely assume new regulations are going to come into play. We can...

Read More

Can Technology Help with Risk Management?

  • clock February 24, 2021
  • author-icon Ed Maddock
  • 0 comments

Can technology such as process mining help with Risk Management? The answer is both Yes and No. Process Mining Process Mining is a fantastic tool...

Read More

The Key Components of a Business Model

  • clock February 17, 2021
  • author-icon Ed Maddock
  • 0 comments

The first and most obvious component is creating the process landscape itself. To do so, we must understand if these processes: Are end-to-end flows like...

Read More

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.