In the business world, there’s always an exchange. Generally speaking, greater risk brings the opportunity for greater reward. However, just because you’re taking on risk in a certain area, doesn’t mean you have to suffer the consequences. Leading businesses have perfected the art of leveraging strategic technology to lower risk and enjoy greater rewards. Read on if you’re interested in learning more.
4 Ways Leading Businesses Reduce Risk
It’s rarely possible to avoid all risk in a situation, but some of today’s most successful businesses have discovered ways to significantly mitigate threats in order to get ahead. Keeping this in mind, let’s check out a few of the specific ways these companies are using technology to streamline risk reduction on a daily basis.
1. Risk Assessments Provide Advanced Insights
Being able to assess risk on the front end of a project or fiscal year helps businesses understand what they’re facing so they can make better decisions in advance. While there are a variety of risk assessments available to businesses, the Operationally Critical Threat, Asset, and Vulnerability Evaluation (OCTAVE) is one of the best.
As Reciprocity Labs explains, OCTAVE Allegro is a qualitative method that’s perfectly suited for measuring risk in small groups without disrupting the daily flow of business. In other words, it gives companies a chance to identify and mitigate risks without making a scene. It’s a life-saver.
2. Automation Software Eliminates Human Error
There’s been a huge rise in automation software over the past few years. One of the biggest benefits of automation software is that it reduces the amount of human intervention, thereby significantly reducing risk. This is beneficial in a number of areas. For example, many organizations in the finance industry have embraced automation in how they manage orders.
As BlazePortfolio mentions, “An integrated order management platform will synchronize account values automatically each day and then calculate trade recommendations based on the most current information, preventing cash overdrafts or duplicate trades.”
Little things like this can make a big difference when you look at it from a long period of time with thousands of individual trades.
3. Predictive Analytics for More Accurate Spending
Predictive analytics have come a long way and many businesses are using chatbots to reduce risk in key areas like sales and spending.
“Once you set up a reliable sales and marketing machine, you’ll be able to use predictive analytics to plan ahead. Once you’ve built your sales funnel through your chatbot, you’ll be able to predict sales and calculate how much money you make on monthly basis,” entrepreneur Murray Newlands notes. “You can use this information to develop future budgets to give you a more realistic idea of your growth rate down the line.”
4. Biometric Security for Better Access Control
Cyber security is obviously a huge concern in today’s world, but businesses can’t forget about the supreme importance of physical security. One advanced technology that companies are relying on is biometric security.
As IFSEC Global points out, “Biometric technology is able to recognize a person on the basis of the unique features of their face, fingerprint, signature, DNA or iris pattern and then impart a secure and convenient method for authentication purposes.”
You’ll often see biometric mechanisms outside server rooms, cash vaults, and other high-security environments where simple locks aren’t adequate.
Less Risk, More Reward
The more you can reduce risk in a given situation, the greater your chances are of experiencing the rewards associated with the undertaking. While technology is only part of the equation, today’s advanced tools, gadgets, and solutions are making it easier to mitigate threats and enjoy positive returns.