Service Management: Risks

Question 1

Risk

Answer 1

A possible event that could cause harm, loss, or make it more difficult to achieve objectives.

Question 2

A service provider’s goal should be to reduce risk for the consumer

Answer 2

Risk is present in services as well as physical - install
Example Uber: remove risk of getting in accident. Risk is postentially imposed on consumers by the service (no or bad wifi)

Question 3

CONSUMERS should contribute to the reduction of risk

Answer 3

Carry extra battery packet or tell Uber that its hard to get uber drivers in rural area.

Question 4

3 Consumers must ensure providers have access to the necessary resources

Answer 4

Putting requirements on Service providers and vice versa

Question 5

4 ways to control Risk

Answer 5

Avoid, Accept, Transfer, Mitigate

Question 6

Avoid Risk

Answer 6

Risk Avoidance involves removing risks from the service

(ie. read blog and privacy regulations “GDPR”. you can avoid if you don’t track client, turn off tracker.

Question 7

Accepting Risk

Answer 7

Risk Acceptance is used when the risk or cost is considered low
(Example - guy in Australia, and uses everything and has low # of people from Europe (GDPR) to go to his website. Willing to accept risk

Question 8

Transfer Risk

Answer 8

Risk Transfer is often used when you insure against a risk
Example - hire a service provider who will collecting and storing data and grant you access when you want it or get insurance to protect you

Question 9

Mitigation Risk

Answer 9

Risk Mitigation is used when you implement technology or processes to reduce the risk
example, GDPR, you would put in extra steps to protect client info to reduce risk but not completely stop it