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Privatization in Patagonia, Essay Example

Pages: 1

Words: 291

Essay

Introduction

Risk management is a complex condition which requires a detailed analysis of risk in all areas of operations. From an economic point of view, conducting business and restructuring as necessary create substantial risk for an organization or government. Therefore, the potential economic benefits must outweigh the risks of doing business in this manner in a cost effective manner. At all phases of the project, risk must be mitigated against rewards in order to accomplish the desired business-related objectives without extreme difficulties or risk-related delays in addressing the strategic plan.

Analysis

The surrounding physical and technology-based environments must also play an important role in assessing risk because in many cases, these limit opportunities and advancements that might be identified. Technology-based solutions are highly beneficial, but they are not without their risks, particularly during project management and development in new areas that have yet to be explored. In addition, strategic and physical planning tools must be utilized so that there are minimal errors and fewer funding losses. The adoption of government-based regulations also creates risk because the costs associated with project development and management may not coincide with meeting all government requirements.

Conclusion

Risk management is a complex phenomenon that entails the development of planning tools and the utilization of resources to accomplish the desired tasks and objectives. In a modern context, where the competitive nature of doing business is substantial, it is more important than ever to establish an effective risk management approach to minimize risk, reduce potential losses, and to expand rewards as best as possible in order to accomplish project objectives. The use of technology-based tools must be considered carefully in order to ensure that all possible risks are evaluated against the potential rewards that they will provide to the project at all levels.

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