When planning your RTO, as with any other business, the identification of risks within your environment and the external environment to your RTO is extremely important.
Risk is one of the most overlooked areas in small businesses in spite of the fact that it is clear to most small business owners that operating any business involves risk. A good risk management system is not just about having insurance cover, it is a continuous process of analysis and communication.
The risk management steps are:
- hold insurance for public liability (at least)
- Define your goals and context for your RTO
- Identify risk
- Document it
- Measure it
- Formulate strategies to limit it
- Carry out specific tactics to implement those strategies
- Continuously monitor the effort
- Continuously communicate and consult with stakeholders.
A big risk that many RTO don’t consider is if someone leaves the RTO and takes intellectual property with them, leaving you with limited resources. Along with all other risks, I encourage you to consider one and a mitigation strategy.