5-Step Risk Management Strategy
1. Identify your church's exposure to loss. What risks do you face? Evaluate ministries, facilities, policies and procedures, staff practices, liabilities, insurance coverages, etc.
2. Analyze the potential impact and scope of the identified risks on the church. Would losses be manageable through operating income, or would the loss threaten the viability of the church?
3. Select the best risk management techniques that your church can use to reduce the identified risk:
- Eliminate the risk
- Reduce the risk
- Live with the risk
- Transfer the risk
4. Implement the appropriate risk management techniques and training to reduce risks.
5. Evaluate the effectiveness of your risk management program, provide feedback to ministry leaders and church members, and make adjustments as necessary.
Risk Management Resources
Pillars of Accountability: A Risk Management Guide for Nonprofit Boards
downloadable book, http://nonprofitrisk.org/pubs/pillars.htm
“Pillars of Accountability in the
Nonprofit World” http://nonprofitrisk.org/pillars/pillars.htm,
free online assessment tool
Safe and secure, The Alban Guide to Protecting Your Congregation
The Alban Institute
Jeffrey W. Hanna ©1999
Church Executive Magazine
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