Museum Methods: Risk Management

Risk management is about identifying and evaluating/assessing risks that may effect an organisation operation and then prioritising the identified risks and developing strategies to eliminate or minimise the impacts of the risk taking into account the organisations available resources. A risk management system must be able to quantify the risk and predict the impact of the risk to the organisation.
The importance of risk management is highlighted in the National Standards for Australian Museums and Galleries, Standard A2.6 states that the museum identifies and assesses risks and has strategies in place to manage them, with the associated benchmark A2.6.1 saying that risk management is part of the museum’s strategic and financial planning though up-to-date, procedures and strategies.