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Human Risks. Trevor Mack, Jake Doiron , Alex (Agent) Polant. Human Risks. Human Risks-Risks caused by human mistakes or dishonesty, or other risks that can be controlled by humans. Employee Risks.
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Human Risks Trevor Mack, Jake Doiron, Alex (Agent) Polant.
Human Risks • Human Risks-Risks caused by human mistakes or dishonesty, or other risks that can be controlled by humans.
Employee Risks • Employees represent another human risk for business. For example, members of management at the energy trading giant Enron Corporation and its accounting firm, Arthur Andersen LLP, used questionable accounting techniques that inflated profits and hid losses.
Skills and Working Environment • In a restaurant, failing to properly cook or handle food can lead to customers becoming ill or hospitalized. To reduce risks of this type, many companies have instituted safety programs that stress the importance of proper food handling.
Computer-Related Crime • Over the past decade, computer-related crime has emerged as a significant new human risk for businesses. Malicious programs called computer worms or viruses can be downloaded inadvertently by employees and can wreak havoc on internal computer networks and communications systems.
Ways of Handling Business Risks • There are four basic ways that businesses can handle risks: Risk prevention and control, risk transfer, risk retention, and risk avoidance.