ABSTRACT
Over the last 30 years or so risk has been a major research theme across a wide range of academic disciplines. It challenges researchers to develop theories that can explain, for example, what factors influence our risk perceptions. Thus, anthropologists, sociologists, economists, psychologists, engineers and philosophers have all engaged in the task of furthering our understanding of risk and of relating it to concepts such as trust and blame. The process of categorisation may provide a degree of reassurance that we understand the risk; however, such categorisations can be simplistic and misleading. These major risk issues often result in multiple risks which, in turn, lead to other risks. For example, climate change has been connected to risks of drought, famine and conflict. This chapter provides some contextualisation by exploring some broader aspects of risk and risk management. It focuses upon risk in the context of financial reporting. The chapter examines topics that have specific relevance to the monitoring of risk.
