Risk management is the act or practice of controlling risk. Most businesses re very interested in understanding the ways to control risk. This has created a secondary industry focused on mitigating risk and providing management information that allows business to gain from the knowledge of others who are successful in mitigating risk. As a result there are many trade journals dedicated to risk management information and news. In a constantly changing business environment such news is critical to many companies in taking action to prevent future losses.
This process includes identifying and tracking risk areas, developing risk mitigation plans, monitoring risks and performing risk assessments to determine how risks have changed. Depending on the types of risk involved, it can be further split up into operational, credit and market risk management.
