Risk Culture and Risk Attitude: A Comprehensive Analysis

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INDIVIDUAL ASSIGNMENT - RISK CULTURE AND
RISK ATTITUDE
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Executive summary
The analysis will be depicting the growth of the organisation and the impact of risk in the
organisation. This will also show respective changes in the attitude and behaviour of the
employees and the company the more they adapt risks in the culture. There will be an effective
application of various policies associated with the adaption of risk in the future aspects of the
country thus affecting the growth of the organisation. The assessment will also show the
respective impact of attitude and skills on the growth of the organisation and taking effective
adaption of the same.
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Contents
Introduction.................................................................................................................................................4
Literature review risk culture.......................................................................................................................5
Risk attitude influence risk culture or vice versa.........................................................................................9
Need to build a good risk culture with your project team............................................................................9
What does risk culture look like................................................................................................................10
Conclusion.................................................................................................................................................12
References.................................................................................................................................................13
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Introduction
The assessment will be analysing various factors associated with the development and growth of
the organisation and the impact of risk-taking ability on the development of the organisation and
making culture as per that. This will also show the need for the organisation to adapt risks in the
future aspects of the organisation. The assessment will be addressing multiple options associated
with the growth of the organisation and the positive and negative impact of an individual in order
to deal with the risks associated with the culture of the organisation. The assessment will be
checking the reflection on the culture and attitude of leader and employees as per the changes
associated with the risks adapted.
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Literature review risk culture
According to Hillson, (2013), Risk can be understood as something which has been done out of
the current league and processes thus putting business and company in a comparatively
vulnerable position in order to deal with further possible outcome in future. This can be
understood as below three major processes:
Risk attitude: This can be understood as perception and thinking one possess in order to deal
with the risk culture and perception in the future in order to deal with subsequent culture and
possibilities associated with risk.
Risk behaviour: The risk behaviour considers an external structure that is included in the
behaviour of the team and individuals that are involved in the growth and related judgment
associated with the growth of the company.
Risk culture: The risk culture can be identified as subsequent structures that can be associated
with the understanding about shared risks and intended purpose that are associated with the
growth of the people and employees associated with the organisation that is involved in the
system. The culture in any organisation can be a continuous work and joint venture that is
associated with the growth of the company. The repetitive behaviour of an individual is required
in the growth of the company thus affecting the values associated in the organisation in a
constitution to work culture and subsequent organisation behaviour.
As per the views of Richardson & Fenech (2012), there is a need to take a risk in any
organisation that is involved in the development of an organisation. Thus this improves the
capability of the organisation and helps in the future checking capabilities of the organisations
thus taking into account various opportunities associated with the growth. This affects the
development and potential mindset of the employees and eventually impacts the attitudes of the
organisation. The more risk culture is there in the organisation the more they are prone to hamper
statistical structure and policies associated with the growth of the organisation thus taking into
account the financial and reputational damage that can be seen in the growth of the organisation.
This may be affecting the organisation in financial and non-financial firms that are involved in
the system. The culture of risk cannot be accepted by all the people in the organisation thus
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affecting the growth of the people taking into consideration that are involved in the culture of the
organisation. This has been seen that many people do not accept various policies associated with
the growth of the organisation.
In view of Ashraf, et. al. (2016), there are certain other features associated with the culture of
risk that might not be as negative as previous methods. Thus the culture of risk can be seen by
taking into account the enthusiasm and creativity of the employees associated with taking risks.
This might give a good influence on the employees as this will affect the growth of the company
and possible values associated with adding new features and risks associated with risks. This
gives employees better options associated with the development of personal work culture and
develop an attitude to take a risk in making something new.
A-B-C Model of Culture
Richardson & Fenech (2012), as the ABC model, suggests that there has been a correlation
between attitude risk and behaviour of an employee. Thus the attitude of the company or the
employee gradually shapes the behaviour of the employees thus forming the culture of the
organisation taking into account the overall needs and process of the organisation and making
subsequent features in future. All these are involved in the development of risk nature in the
organisation. This model can be understood as attitude and behaviour being the internal structure
of the organisation and behaviour is the reflection of the same on the employee.
This whole structure develops a cycle that is commonly known as a vicious cycle that shows the
reflection of poor attitude on the inappropriate behaviour and negative culture in the
organisation. Alternatively, this loop can impose positive structure on an organisation thus
affecting the growth of the company associated with the development of the organisation. This
can be seen that risk attitude are not same as risk culture thus the same reflects risk averting and
risk-seeking behaviour of the people that can be seen in the growth of the organisation thus
impacting future aspects of the company and developing potential features associated with the
growth.
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Figure 1: ABC Model of Culture
(Source: PMI, 2013)
Risk culture Framework
(Figure 2: Risk culture Framework)
(Source: Theirm.org, 2012)
This behaviour shows that personal perception and risk-taking the opportunity of individual
forms the overall needs of an individual that determines the need to take a risk and develop new
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things in life that are determined by the overall behaviour of an individual. The personal ethics
of the individual/group determines ethics and behaviour that eventually develops the
organisational culture and risk culture in an organisation which reflects on the whole
organisation. This shoes that personal ethics and practices are depicted on a large level on the
growth of the organisation and form organisational culture.
Risk management
According to Deloitte (2018), the process of risk is associated with the risk management process
that is necessary to identify risk in any situation and make an effective analysis of the risk that
eventually depicts the overall cultural identity and structure of the organisation. There have been
certain possibilities that are involved in the growth of the company and eventually impact the
performance. Thus the risk is needed to be planned and sustained in order to reduce the impact of
the same in future aspects. The management process involves active response to the delivery of
accurate process in the growth of the organisation in the delivery of the system that eventually
covers the overall needs of the behaviour in the system that allows the functioning of the
company in future developments. This framework involves analytical thinking and rational
development of an individual.
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Risk attitude influence risk culture or vice versa
According to Bromiley, et. al. (2015), the attitude of an individual is dependent on the growth
alternatives of the company that affects the development of an organisation in the development
of future aspects of the organisation thus depicting future aspects of the company. This has been
affecting the development of the overall needs of the organisation. The impact of business risk is
involved in the growth and development of overall needs of the economy thus affecting the
behaviour of the organisation. This attitude develops a trend in the organisation thus reflecting
the overall needs of the organisation and developing a culture that might develop a positive and
negative attitude of the people. The culture shows company inclination towards risks and
sustainable development of the company. The risk attitude develops thinking among the
employees and they are more involved in the growth of the company and making effective
development of the individual.
The risk culture depicts the effective development of behaviour of the company towards adaption
of new features in the company and making effective application of the same in the future.
Leaders play a very important role in the growth of the organisation and making effective
application of the same in the future aspects of the organisation thus leading to different aspects
of the company (Power, et. al., 2013).
Similarly, the risk culture affects the perception of the people and the leaders. This sometimes
shows the attitude of the company and it becomes a global attitude of the company in the vision
of people associated in the organisation. The risk culture is well depicted in the behaviour of
employees and they feel free to develop new things and try new ideas in work thus affecting the
overall needs of the organisation constituting to future endeavours of the organisation. The risk
culture eventually gets adapted in all the sections of the organisation keeping the organisation on
a more potent form.
Need to build a good risk culture with your project team
In accordance with Hardy and Maguire (2016), a strong culture is seen in the development of
future aspects of the company thus affecting the potential and creativity of the employees. This
has been seen that the overall structure of the organisation is well occupied with the motivation
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and participation given by the employees thus dealing with future aspects of the company. Risk
culture prepares the employees for sudden issues and ad hoc features that are involved in the
growth of the company and also to deal with the subsequent nature of the organisation. This
culture will be effective in developing a good culture in the organisation thus leading to the
growth of the organisation and making employees ready for future accidents and sudden
conditions. This develops qualitative and quantitative attitude among the employees and they are
more inclined to the growth of the organisation thus dealing with future aspects of the
organisation and making reflective changes in the growth and performance of the employees
(Fadun, 2013).
This helps in collecting more stakeholders and developing a better connection in the market. This
can be seen that the overall needs of the company are expanded beyond current growth and
structure that develops futures aspects of the company. This delivers better benchmarking and
develops better structure develops ROI in a better form. This culture develops better analysis and
understanding of the company and individuals that are involved in the growth of the organisation
thus dealing with better subject options and cultural dimension. The team needs better and
competitive options to deal with further needs of the organisation thus dealing with the effective
application of the same on the growth of further options in the company culture and
development.
What does risk culture look like
Risk culture can be a combination of positive and negative policies that are involved in the
growth of an organisation thus dealing in every aspect of the organisation to develop better
options for the company. A risk culture highly impacts tolerance in the employees that may be
positive or negative in nature that is involved in the growth of the company thus reflecting the
growth of the company. Employees might be very tolerant for the future aspects of the
organisation or they might not be very accepting of new features in the organisation. This
develops structural balance in the organisation and also develops segregation of duties among
people that are more supportive for the future development of the organisation. The organisation
is more aware of the risks involved in the organisation and the subsequent risks needed in the
organisation. Another factor that is seen in risk culture organisation is the development of a
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process to fight with the potential risk that might come up in the future in the organisation. This
has been dealing with the effective needs of the organisation and making policies well-structured
for future needs of the organisation (Richardson & Fenech, 2012).
The values of these organisations also change as the more they try to develop better stability in
the workplace by developing health and safety features and also a healthy environment for the
future development of the organisation. This develops participation and authority in the
organisation thus dealing with the identification of risks and operational features associated with
the growth of the organisation thus dealing with the needs of the organisation. This improves
accountability in the organisation and imagination structure of the organisation to deal with the
subsequent needs of the organisation. This also develops resilience in the organisation in the
growth and development of the organisation.
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Conclusion
The above report has highlighted various factors associated with the risk adaption and analysis in
the growth of the organisation in order to deal with the subsequent needs of the organisation.
There has been an in-depth analysis of various features associated with the growth of the
organisation as the participation of the employees in the risk. This has been seen that further
adaption of risk affects the culture and resilience structure of the company.
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