Risk Management in British Airways: Types of Risks, Mitigation Strategies and Risk Register

RISK MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1 ...........................................................................................................................................1
Risk models.................................................................................................................................1
Robson risk management model.................................................................................................2
TASK 2............................................................................................................................................3
(a) Assessment of types of risks and hazards associated with the current strategy,
commercialism environment and enterprise operations of British Airways...............................3
(b) Suggestions to mitigate those risks and preparation of risk register.....................................6
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Risk management is the process of evaluating and identifying the threats and risk which
can be previously controlled and managed by the organization and a management of the business
enterprise which will support the company to obtain the productivity and reduce the losses
(Smith and Merritt, 2020). The report will illustrate the understanding of the business operations
of a company British airways and brief about the different risk matrix and models to understand
it in better manner.
TASK 1
Risk models
Risk term simply refers as a threat of different purposes and elements where it can harm
the organisation and a business to have the negative impact on the company where it becomes
essential to understand and adopt the relevant or appropriate risk model and framework to
control and manage it effectively. Here, mentioning the two risk frameworks which will help an
individual or an organisation to identify the risk and manage them appropriately.
The COSO ERM Integrated Framework.
COSO ERM integrated framework is a tool which helps the individual and organisation
to manage the risk and reduces the risk by identifying, assessing, and managing to enterprises.
This model has an aim to help and support the organisation to understand and prioritise the risk
and create a strong connection between the risk and strategy of the business as it operates in the
particular market field. It is consisted of five main components which helps the company to
achieve the mission and vision in definite manner (CONFLICT, 2019).
 Control Environment: The first factor leads the company to understand the
environment of their business or their workplace and put their efforts in controlling the
negative environment by adopting the different activities. It may include exercise
integrity and ethical values. Also, by making a commitment to competence will also
ensure the organisation to not get impacted by the risk widely.
 Risk assessment: The second step refers to identify the risk and a risk assessment where
by creating the company wide objective swill help and support them to do so. Also the
1

analysis and risk identification areas will allow the company to get the definite amount of
result and outcome.
 Control activities: Third step refers to control the activities which can be done by
following the policies and procedures and by improving the security like applications and
network which will allow the company to reduce the risk areas. Also, the company
always should have the backup plan for the betterment of the organisation where it will
help the company to overcome and manage the risk (Chang and et.al, 2018).
 Information and communication: In an organisation, the management should have
implemented the proper communication with each other and in overall department along
with sharing the relevant and important information among the company will help the
company.
 Monitoring activities: Implementing the different measures of risk assessment, the
company now required monitoring the ongoing performance.
Robson risk management model
 Personal risk Perception: The first factor refers where the people subjective judgement
about the likelihood provides the negative results where it is important in health and risk
communication.
 Risk identification: In order to demonstrate the risk it is important and essential to find
out the risk which can help the enterprise to overcome the risk effectively.
 Risk assessment: Resources are the important part for the risk assessment where the
different tools and resource are required for the risk assessment process.
 Risk strategies: It is required to focus on the policies and strategies for dealing with risk
which will help the company in definite and maximum manner (Giuffrida, Jiang, and
Mangiaracina, 2021).
 Risk evaluation: At last, it’s time to evaluate the risk areas and the planning and
procedure so that the company can renew them accordingly and can manage the risk
efficiently.
2