the systematic approach and
practice of managing uncertainty to minimise potential harm and loss. Risk
management comprises risk assessment and analysis, and the implementation of
strategies and specific actions to control, reduce and transfer risks. It is
widely practiced by organizations to minimise risk m investment decisions and
to address operational risks such as those of business disruption, production
failure, environmental damage, social impacts and damage from fire and natural
hazards. Risk management is a core issue for sectors such as water supply,
energy and agriculture whose production is directly affected by extremes of
weather and climate.