The goal of risk management consists of two parts: the risk management goal before the loss occurs and the risk management goal after the loss occurs. The goal of the former is to avoid or reduce the chance of risk accidents. , including saving operating costs and reducing worries; the goal of the latter is to strive to restore the target of the loss to the state before the loss, including maintaining the continued survival of the enterprise, the continuation of production services, stable income, continued growth of production, and social responsibility . The two are effectively combined to form a complete and systematic risk management goal.
2. Risk management strategy. Since the consequences of risks may threaten the survival of the enterprise, it is important for the enterprise to adopt appropriate risk management strategies for risk management.
(1) Risk avoidance strategy. The first consideration in any economic unit's strategy for dealing with risks is to avoid risks. When the losses caused by risks cannot be offset by the profits that may be obtained from the project, avoiding risks is the most feasible and simple method. For example, by not making a certain investment, you can avoid the risks associated with that investment. However, the method of avoiding risks has great limitations. First, avoiding risks is effective only when the risks can be avoided; second, some risks cannot be avoided; third, some risks may be avoided but the cost is too high; fourth, the enterprise Passively avoiding risks will make companies content with the status quo and not seek progress.
(2) Risk control strategy. When an economic unit cannot avoid risks or is bound to face certain risks when engaging in certain economic activities, the first thing that comes to mind is how to control the occurrence of risks, reduce the occurrence of risks, or how to reduce the losses caused after the occurrence of risks, which is to control risks. Controlling risks mainly has two meanings: one is to control risk factors and reduce the occurrence of risks; the other is to control the frequency of risk occurrence and reduce the degree of risk damage. To control the frequency of risk occurrences, we must make accurate predictions, and to reduce the degree of risk damage, we must take decisive and effective measures. Risk control is subject to various conditions. Although human knowledge and technology have been highly developed, there are still many difficulties that cannot be overcome. Therefore, it is impossible to completely control risks and fully reduce losses.
(3) Risk diversification and neutralization strategies. Risk diversification mainly refers to the ways in which economic units adopt multi-faceted operations, multi-party investments, multi-party financing, diversified sources of foreign exchange assets, attract multiple suppliers, and win over multiple customers to spread risks. Neutralizing risks mainly refers to the decisions adopted in foreign exchange risk management, such as taking measures such as reducing foreign exchange positions, futures hedging, and forward foreign exchange business to neutralize risks.
(4) Risk-taking strategy. When an economic unit can neither avoid risks nor completely control risks or diversify or neutralize risks, it can only bear the losses caused by the risks itself. The way in which economic units bear risks can be divided into unplanned simple retention or planned self-insurance. Unplanned simple retention mainly refers to the way of bearing losses caused by unforeseen risks; planned self-insurance refers to the way of bearing losses caused by predicted risks, such as the withdrawal of bad debt reserves.
(5) Risk transfer strategy. In order to avoid hindrance and disadvantage to its economic activities after assuming risks, economic units can adopt various transfer methods for risks, such as insurance or non-insurance transfer. Modern insurance systems are the most ideal way to transfer risk. For example, the unit carries out property and medical insurance and transfers risk losses to the insurance company. In addition, the unit can also transfer part of the risk to the other party through contract terms.
