A Case Study Of Barclays's Risk Management Team

Risk management is critical to our company and most companies in general. Barclays’ needs an effective risk management team to be successful and satisfy shareholders and clients. Because it involves the process of identifying, analyzing, and accepting or mitigating uncertainty, risk management plays a large role in the bank’s decision-making. Anything that Barclays’ does, a fund manager or any risk manager must quantify the potential gains and, more importantly, the losses that will result from that decision (“Risk Management”). Although we have been successful in the past, it is crucial that we reevaluate our current risk management team to ensure future prosperity. In doing so, we will not only be able to maintain our success, but we will also surpass it and greatly benefit from the change. Our most important goal, as previously stated, is to examine and evaluate our current risk management team. An effective risk management team will be able to easily identify a project’s strengths and weakness, and as a result, they will also be able to generate strategies to aid or hinder that project (Duggan “Why is Risk…”). I call out our current risk management team in
Because of the economic volatility stemming from the 2008 financial crisis, many people have been wary and uncertain of investing in a company or project. Uncontrolled risk-taking will demonstrate stakeholders’ fears of losing money in an investment. In 2005, Ernst and Young conducted an “Investors on Risk” poll that presented evidence exemplifying this negative effect of poor risk management. According to the poll, sixty-one percent of investors would withdraw from an investment if they thought that the risk was not adequately identified and analyzed (Maziol “Risk Management: Protect…”). If risk is ineffectively examined, people are more likely to sell their shares or pull their money and support from our