a) There are various ways on how to tackle and minimize risks faced by a company.

However, some suggestions as to how to minimize risk may include developing an

enterprise risk management program for the company, and to determine what risks

pose the greatest danger to the company. Propose to the company how to manage

their property risks.

b) Businesses have four options to avoid losses stemming from pure risk situations. If

the situation required the president of an asbestos removal firm in Sepang, closed

his firm for four months because Movement Control Order (MCO) and determine

which option the firm is choosing for the case and please give reason why it being

chosen.

QUESTION 2

a) Eric owns a company that makes self-darkening windshields for vehicles, Sun-2-Shade. He is

aware of the risks of owning a business, and is considering various insurance plans. Eric

would like to make sure that he wont incur any losses, and so is thinking about buying policies

from two different companies just to make sure that not only will he be covered, but could

make money while the company was down. Eric figures that he will be able to manage the

risks and losses if something happens. As Erics risk manager, please help him in evaluating

the risk and what would you tell him about this plan.

b) What are the issues involved in risk management and the environment?