Business Strategy Question:
What are the two ways to control risks?
Answer:
There are two ways to control such risk:
You can tell people what to do or you can tell them what not to do. Telling people what to do helps assure that they will not make mistakes by engaging in unauthorized activities. This is the prudent approach if safety and quality are paramount concerns if, say, you are running a nuclear power plant or overseeing a space launch. In such cases you want employees to follow standard operating procedures to the letter.
You can tell people what to do or you can tell them what not to do. Telling people what to do helps assure that they will not make mistakes by engaging in unauthorized activities. This is the prudent approach if safety and quality are paramount concerns if, say, you are running a nuclear power plant or overseeing a space launch. In such cases you want employees to follow standard operating procedures to the letter.
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