Enterprise Risk Management Planning

The Risk Management Planning effort should include the following:

1. Awareness - Awareness should be raised about the need for risk management, contingency, and continuity plans for all elements of the organization and for all those entities on which business depends.
2. Risk Assessment Phase - Review information should be gathered in the Awareness Phase. In this phase the management must first look at the currrent risk management efforts and identify additional areas needing risk management. Then prioritize risks in each area of the operation and finally determine how best to diminish those risks.
3. Planning Phase - The recommendations from the Risk Assessment Phase should be considered. For example: update any internal plans that need adjustment. Develop new plans where they are needed.
4. Testing Phase - Durign this phase an approach to testing must be documented and then actual tests of all the contigency plans should be conducted. Results should be documented and used to determine if particular area plans are adequate in the event of a serious problem.