EP010

Risk on the cat-ernets Episode 10

Music provided by: Denis Kreynin
Running a business means taking on risk. There are different kinds of risks businesses need to think about on a daily basis. Computer can help increase opportunity, lower needs for physical resources like people and office space, but automation also means that loss can happen more frequently and without oversight.

We talk very generally about business risks and thoughts on how computers affect the following key considerations:
Time – the only truly limited resource.
Money – lost revenue, fraud, getting sued, etc…
Reputation and trust

How much money you can spend can determine your strategy for buying a product developed by experts to reduce risk, spend money on hiring experts you retain, or live with the risk and maybe offsetting potential loss with insurance?

Outsourced services are attractive as you can outsource responsibility, but you cannot outsource accountability. What kind of due diligence is needed?

References:
Is starting your own business risky? – https://www.copyblogger.com/risky-business
Return on investment – https://en.wikipedia.org/wiki/Return_on_investment
Annualized loss expectancy – https://en.wikipedia.org/wiki/Annualized_loss_expectancy
IT risk management – https://en.wikipedia.org/wiki/IT_risk_management