Page 55 - EBOOK RISK MANAGEMENT

6.0 RISK MANAGEMENT PROGRAMME

Effective risk management ensures the continuity of business operations. The

importance of risk management has been growing steadily over the last several

years for a variety of reasons including legal, political, liability, increased use of
technology, and higher litigation costs.

6.1 Fire Risk

Fire risk is defined as event which is likely to cause a fire or make a fire worse.

Potential Loss
 Death

 Injury
 Damage to property

Risk Management Technique

1) Risk Reduction

 Provide means of escape or evacuation plan such as escape routes, fire
resistance and fire doors

2) Risk Financing
 Purchase fire insurance to cover aftermath loss and recover the financial

loss back to its original condition

3) Risk Prevention
 Regular checks with maintenance of fire extinguishers and fire suppression

equipment (eg sprinkler systems and/or other fixed or portable firefighting

equipment)
4) Risk Prevention

 Provide information on specific hazards in premises which may cause a
fire

5) Risk Reduction

 Installing fire detection and warning systems to alert peoples about the
fire and reduce the casualty loss

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