Risk management is the identification, evaluation, and prioritization of risks followed by coordinated and economical application of resources to minimize, monitor, and control the probability or impact of unfortunate events or to maximize the realization of opportunities. safety, security, disaster management, business continuity, insurance and internal audit are often referred to as “risk management.” Risk management processes that are integrated within the institution’s existing structures are likely to be more effective in producing the desired service delivery and other objectives.