ABSTRACT
The term 'managed risk' refers to a systematic preventive approach as distinct from one that is ad hoc and reactive. The generic features of a standardised Risk management programme cannot be expected to draw attention to the specific technical and managerial details of the organisation using it. An organisational tendency towards a reactive approach is often based on a deep lack of understanding of risk at the highest levels of management. The economic, political, commercial, legal and social environment within which the organisation exists also has a profound effect on the management of risk. Risk management proposals regarding the development of much-needed chemical management practices had been resisted for many months, possibly to avoid uncovering this somewhat under-the-table activity. The claims handling practices of insurance companies can be a powerful disincentive for management if liability is accepted by a clerk with no knowledge of industry.
