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11 Most Common Risk Management Mistakes Made by Small Business Owners [Video]

most common risk management mistakesMistakes are going to happen, but our hope is that you will not make as many once you watch our video on the 11 most common risk management mistakes made by small business owners.

It is important to remember that good risk management practices happen every day. Risk management doesn’t need to be our only thought but rather a set of general ideas we keep in the back of our mind as we go throughout our day.

If an accident does happen, we always have our business insurance program there to back us up and provide financial reimbursement for the loss. Good risk management simply helps us keep accidents to a minimum.

11 Most Common Risk Management Mistakes Made by Small Business Owners

The is the 5th and final video in a series on small business risk management.

Video Transcript:

My name is Ryan Hanley, I’m director of marketing and licensed agent here at the murray group and it’s both my role here, as well as my passion to help business owners like you receive the maximum benefit from your insurance.

But today we’re not talking about insurance… this is the 5th and final video in a series we’ve done on Small Business Risk Management and today’s topic is the 11 most common risk management mistakes by small business owners. Avoiding these mistakes means less aggravation, less workplace downtown and more money in your business’s checking account.

#1 – insufficient attention to loss control – so not taking risk management seriously…

#2 – letting apathy or politics drive your risk management decisions – again I would say this results from not putting enough importance on risk management to make a proper decision.

#3 – risk management “blind spots” – this results from not looking at the enterprise as a whole, believing some areas will not be impacted by accidents.

#4 – inadequate preparation for loss – not actually acting on your risk management decisions

#5 – Avoiding risk instead of managing it – as I’ve said in previous videos of this series, risk is VERY important to the growth of a business… avoiding risk completely can do more harm than good.

#6 – Failure to communicate risks to staff – so basically just a failure to communicate business risks organization wide

#7 – Failure to develop computer skills – computers are a way of life in today’s business world, not knowing how to use a computer is NEGATIVELY impacting your business in many ways… PERIOD. No discussion.

#8 – Inadequate people skills – Proper risk management takes teamwork. We have to be able to work well with others to prevent and/or reduce risk.

#9 – Superperson syndrome – see #8, risk management takes a team, you can’t do everything yourself.

#10 – Failure to document – this stuff needs to be in writing.

#11 – Lack of creativity – sometimes you have to think outside the box to find solutions to risk management problems. Best practices are great but your business is unique and will have it’s own unique solutions

That’s it, 11 common risk management mistakes for small business owners… now that you know what they are, don’t let them happen to you.

At The Murray Group, our job is to provide insurance products to help you recover after a loss and provide risk management guidance to reduce the chance of an accident ever happening.

If you think our agency would make a good partner for your business and you’d like to begin the process of receiving a proposal for your business insurance program, please give us a call at 518-777-7777 or click here to begin the process by email.

If you’d like to learn a little bit more about The Murray Group first, please click this link here or the link below this video to subscribe to our Risky Business Newsletter.

Thank you and Good luck,

Ryan Hanley, CIC