What are the 3 types of risk management?
Widely, risks can be classified into three types: Business Risk, Non-Business Risk, and Financial Risk. Business Risk: These types of risks are taken by business enterprises themselves in order to maximize shareholder value and profits.
What are the 4 types of risk management?
What is the value of a legal risk management plan? Primarily, these plans help you allocate the resources you need to identify, prevent, and address potential incidents that can put your company at risk of legal backlash.
Why should you implement a legal risk management plan?
The best way to reduce legal risks is to proactively include language and terms that can mitigate losses should they occur or even eliminate some risks altogether. The most effective way to do this is to negotiate the most favorable contract terms upfront, at the time that you are drafting your agreement.