So how do you develop an early understanding of your company’s risk exposures? Here are a few ideas:
* Talk to your insurance agent or broker. Insurance professionals are experts at identifying risks and assessing exposure levels, and they can be instrumental in the early phases of developing your risk management policy.
* Network within your industry association. People with experience in your field have unique “real world” perspectives that can shed considerable light on potential areas for review.
* Review customer and employee feedback. Both can yield a surprising wealth of information about your business from perspective you may not have considered. Solicit feedback through regular surveys.
* Read trade magazines and websites geared for your industry to learn about the risks others in your field have faced as well as the steps they took to address them and policy changes they made based on their experiences.
Taking these steps does more than cut costs; it also helps you develop a better understanding of the risks your company is facing, and that can help you run your business more efficiently — and more profitably.