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Risk appetite
RISK APPETITE

Definition: The types and amount of risk an organization is willing to take in pursuit of its objectives.
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* All eight elements should be in.


1. Purposeful and necessary.

2. Aim specific and identifiable.

3. Measurable and/or assessable.

4. Selected thoroughly (to emphasize), such that burden will not be too much to bear for the organization on taking up risk involved.

5. Affordable and tolerable or condonable. That is, risk will be calculated. In other words, organization can 'go there' to fish.

6. Optimistic; will serve purpose(s).

7. Made timely - right system in place.

8. Remains as long as organization wants.
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See perfect SENSE OF CONTEXT.

See perfect RISK MANAGEMENT.

See perfect WILLINGNESS (1).

See perfect WILLINGNESS (2).

See perfect OVERINDULGENCE.




Quote: "Offer them what they secretly want and they of course immediately become panic-stricken". - Jack Kerouac.

Quote: "You can measure opportunity with the same yardstick that measures the risk involved. They go together". - Earl Nightingale.

Quote: "Government is like a baby, an alimentary canal with a big appetite at one end and no sense of responsibility at the other end". - Ronald Reagan.

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