Risk is as much about the possibility that something good won't happen as much as the threat that something bad will happen.' (Source: The Economist Intelligence Unit, Managing Business Risks: An Integrated Approach, 1995).
Risk management is defined as the culture, processes and structures that are directed towards the effective management of potential opportunities and adverse effects.
Risk management is now recognised as an integral part of good management practice. It is an iterative process consisting of steps, which, when undertaken in sequence, enable continual improvement in decision-making. It can be applied at many levels of an organisation and at both the strategic and operational levels and to specific projects, to assist with specific decisions or to manage specific recognised risk areas.
Source : http://www.cpaaustralia.com.au