RISK MANAGEMENT

FIFA & Russia Sign World Cup 2018 Declaration of Appointment

FIFA & Russia Sign World Cup 2018 Declaration of Appointment

Introduction

Risk management

In general, unexpected events occur in projects and may result in either positive or negative outcomes that are a deviation from the project plan. Positive outcomes are opportunities while negative outcomes generate a loss. Risk focuses on the avoidance of loss from unexpected events (Chichilnisky, & Geoffrey, 1998).

Risk management encompasses the activities dealing with risks after they are identified and evaluated. Risk management, as well as risk assessment and risk communication, are part of the comprehensive term of risk governance, which is a systematic approach toward coping with risks under participation of all relevant actors (government, companies, the scientific community, nongovernmental organizations, and the general public). Risk management starts as soon as there is sufficient evidence for hazards identified and evaluated by risk assessment. (Bouder, Slavin, & Lofstedt, 2007)

Risk management is also dealing with identified concerns that were analyzed by concern assessment based on risk perception studies, economy impact assessment, and the scientific characterization of social responses to risk source (Fiedeler, 2010).

Risk Management Steps

The first step of risk management is the identification and generation of risk management options. For example, these are measures to control or to reduce the release of nondeterministic polynomials (NP) problems, foster technological developments (filter technologies, etc.), implement economic incentives (taxation, duties, certification schemes), develop compensation schemes, generate knowledge, collect data (epidemiological studies, studies on work safety), and develop guidelines and best practice manuals (Bouder, Slavin, & Lofstedt, 2007).

The second step is the assessment and evaluation of the risk management options. The criteria of this assessment are effectiveness, efficiency, minimization of external side effects, sustainability, fairness, political and legal implement ability, and ethical and public acceptability.

The third step is the selection and implementation of risk management options. Due to the fact that it is not known how society and the relevant actors will react toward the risk management measures, the fourth step of risk management is monitoring their performance by observation of the effects of the options once they are implemented.

Risk management should not be visualized as a linear progression, but as a circular process, forming an interactive process with reassessment phases. Unexpected side effects of the measures could become evident and overrule the intended aims (Hopkin, 2010). New technologies (measurement techniques, filter techniques) may offer new options. Societal, economic, or political changes could demand a new orientation of the risk management process. Therefore, the differentiation between risk assessment and risk management is only analytical. In practice, both activities are interconnected. (Blair, 2009)

Theoretical Perspective

Looking at the FIFA games as an event provides us with some of principles of risk management:

Events and meetings are a form of tourism and thus suffer from the same sociological phenomena as tourism.

Events and meetings often follow the same patterns, be they mega-event, such as FIFA World Cup, or mini-events, such as Community tournaments.

Whenever an act of violence occurs within the world of events, the media are ...