Pages: 98-110

Abstract

Management of various industrial, manufacturing, service and financial units in the modern world has been facing a variety of challenges. With its fast and stunning development, the competitive world has posed challenge to managers and made decision making more difficult every day. In this regard, parameters and components which goes with uncertainty and change in a period make it difficult and decision making at stake. Prediction of such parameters, the effect they exert on the whole work or project in question, will eventually lead to a good recognition of the general process of the project in question, making risks and potential threats unfold. As a result, managers will be able to take a decision by a good vision and recognition, reducing unpredicted and unintended consequences as much as possible. One of the methods used in this regard is risk management, which is known as an important part of project management and control. Risk management has evolved over time and its systematic method has provided managers with a definite path so that they reduce potential threats to a minimum and reach project goals by the least possible deviations. In this paper, subsequent to an introduction of fundamental concepts of risk, risk management, an account of risk management, methods and its techniques are presented. In the end, following a discussion on how it is practically used in projects in a real and practical sample, risk management and its application are implemented and essential investigations are undertaken into its effects.