0% found this document useful (0 votes)
515 views15 pages

Risk Management

This document provides an introduction to risk management for the tourism industry. It discusses the importance of risk management given the vulnerabilities tourism businesses face from natural disasters, economic crises, and other events. The document defines key terms like risk, risk management, crisis, disaster, and disaster risk reduction. It outlines the six steps of the risk management process: establishing context, risk identification, risk analysis, risk evaluation, risk treatment, and monitoring/review. Effective communication is emphasized throughout the risk management process. The overall summary is that this document introduces risk management concepts and processes to protect tourism businesses from potential threats and disruptions.

Uploaded by

ABEGAIL MADLAO
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
515 views15 pages

Risk Management

This document provides an introduction to risk management for the tourism industry. It discusses the importance of risk management given the vulnerabilities tourism businesses face from natural disasters, economic crises, and other events. The document defines key terms like risk, risk management, crisis, disaster, and disaster risk reduction. It outlines the six steps of the risk management process: establishing context, risk identification, risk analysis, risk evaluation, risk treatment, and monitoring/review. Effective communication is emphasized throughout the risk management process. The overall summary is that this document introduces risk management concepts and processes to protect tourism businesses from potential threats and disruptions.

Uploaded by

ABEGAIL MADLAO
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 15

Module 1

A COURSE INTRODUCTION TO RISK MANAGEMENT


1. Introduction
It is quite apparent that tourism and its allied businesses are important sectors that have impact on
development of country‘s economy. The main benefits of tourism are income creation and
generation of jobs. The industry also encourages foreign investment and facilitates trade
opportunities between countries. For many regions and countries it is the most important source of
welfare. Tourism also creates friendships, understanding, and is a potential tool for peace.
On the other hand it is also evident that tourism businesses are vulnerable. They are very vulnerable
to a wide range of events, both naturally occurring and human-made. In the past tourism businesses
has been disrupted by natural calamities, wars, terrorism, economic crisis, and medical epidemic
among others (Wilks and Moore, 2006).
Considering the above mentioned benefits and vulnerabilities, tourism businesses badly needed
protection. Let us protect tourism through effective risk management.
This module made some practical distinctions between risk, crisis and disaster management in order
to clarify common steps of taking control during adverse situation. It also describes the range of
possible shocks and threats to the tourism industry. Lastly it outlines the stages of the risk
management process.
2. Objectives
Upon the completion of the module the students are expected to:
a. Define terminologies related to tourism and hospitality risk management
b. Understand the importance of managing risks
c. Enumerate and discuss the six-step risk management process
d. Identify the different sources of hazards
e. Describe the four phases crisis management
3. Definition of Terms
Wilks and Moore (2006) defined the terminologies related to tourism and hospitality risk
management as follows:
Risk is defined as the chance of something happening that will have an impact upon objectives. In
other words risk is uncertainty that matters. It is measured in terms of consequences and
likelihood. Risk includes both opportunity and threats. A risk with a positive impact is an
opportunity whereas a risk with negative impact is a threat.
Risk management is the practice of systematically identifying, understanding and managing the risks
encountered in the conceptualization, planning, implementation and operation of tourism and allied
businesses. Risk management should address both types of uncertainty, seeking to minimize threats
and problems as well as maximize opportunities and benefits. This perspective should be reflected in
risk management standards and guidelines and should be practiced by tourism businesses.
Crisis is any situation that has the potential to affect long-term confidence in an organization or a
product, or which may interfere with its ability to continue operating normally. Within the context
of both tourism destinations and individual businesses, crisis is the term applied when confidence in
tourism is affected and when the ability to continue normal tourism operations is impaired. Crises
for tourism destinations and operators may arise from internal (organizational) sources or from
external events (community events such as the impact or threat of a disaster).
Crisis management is the application of strategies designed to help an organization deal with a
sudden and significant negative event. A systematic approach to crisis management by both tourism
industry and government will in many cases prevent crisis to escalate into disaster.
A disaster is an adverse situation resulting from the impact of a natural event or human impact
which, within a given period, causes more damage and harm to the environment in which recovery
cannot be accomplished by the efforts of community alone. In other words disaster is a serious
disruption to community life which threatens or causes death or injury in that community and/or
damage to property which is beyond the day-to-day capacity of the prescribed statutory authorities
and which requires special mobilization and organization of resources other than those normally
available to those authorities. Emergency is the term used at lower levels of loss. In cases of large-
scale events or those of abnormally high impact, the term is catastrophe is used. Disaster is
employed in cases of potentially negative events where a variable of vulnerability is present and
prevention is not effectively possible.
Disaster risk reduction is the term used to promote actions at the national, local, and community
levels to prevent the impact of an event from resulting in a disaster. Where possible, the tourism
industry should participate in the integrated disaster management system at all levels – local
community level for tourism operators and destinations; national and international level for tourism
organizations and associations.

Assignment 1
Kindly retrieve and read the two briefs written by Dr. David Hillson:
1. https://risk-doctor.com/wp-content/uploads/2020/06/06-When-is-a-risk-not-a-risk-Part-
1.pdf
2. https://risk-doctor.com/wp-content/uploads/2020/06/07-When-is-a-risk-not-a-risk-Part-
2.pdf
In less than 5 sentences write down what you understand about risk and how did your views and
understanding of risk changed after reading these documents.

4. Importance of Managing Risk


Risk management is simply a good management practice. It provides structure and form to the
decision making processes. Proper risk management will reduce not only the likelihood of an event
occurring, but also the magnitude of its impact. It is the best weapon you have against business
catastrophes. Chances for success are greatly improved through proper evaluation of potential
problems and development of strategies to address them.
According to Tourism Western Australia (2014) the following are some good reasons to manage
risks:
a. Helps with event/business planning.
b. Reducing unexpected and costly surprises.
c. More effective and efficient allocation of resources.
d. Better results from event/business management.
e. Assists to clearly define insurance needs, and obtain insurance cover.
f. Better information for decision-making.
g. Compliance with regulatory requirements.
h. Assists in preparation for auditing.
i. Lessening risk encourages more people to participate in the event/business.
j. Balancing opportunity and risk.
5. The Risk Management Process
Risk management process is designed to provide a generic framework for organizations in the
identification, analysis, assessment, treatment and monitoring of risk. Risk management process is
applicable to single business or organization and to a community. Disaster risk management is a
multi-agency, community-based process. Tourism operators, destinations and organizations should
be involved in disaster management committees at local, regional, national and international level.
Tourism destinations should also undertake organizational risk management for their destinations.
Tourism Western Australia (2014) emphasized that communication and consultation are
fundamental to risk management, and must be undertaken at each step in the process. For instance
in:
• Setting the context - consultation with internal and external stakeholders is essential to
reach a thorough understanding of the operating environment and to define the purpose
and scope of the exercise.
• Risk identification - a diversity of input can prevent important risks being overlooked and
ensure that risks are accurately described.
• Risk assessment - communication and consultation allows all perspectives to be considered
in arriving at a realistic level of risk.
• Risk treatment - is more effective because treatment plans are better understood.
• Monitor and review - depends upon effective communication to ensure risk information is in
use and current.
It is imperative that a two-way process of internal and external communication and consultation
must be established and maintained between decision-makers and stakeholders so that different
views and areas of expertise are considered.
The basic framework is presented in Figure 1, and is well suited to managing the risks associated
with the tourism industry (Wilks and Moore, 2006).
Figure 1 Basic framework of the risk management process
The important thing to remember about effective risk management is that the five central steps
need to be implemented in sequence and then continually evaluated through monitoring/review
and communication/consultation. Having a documented plan that sits on the shelf is often more
dangerous than not having a plan at all.
5.1 Step 1 Establish the Context
Establishment of the context is the first step in the risk management process. It is focused on the
environment in which any tourism organization or destination operates. At this point basic
parameters or boundaries are set within which risks must be managed. This step requires an
understanding of crucial elements that will support or impair the risk management process.
Among the crucial elements are internal and external stakeholders. The people that will be involved,
their roles, the time and manner they will act, and the resources they will be using should be made
clear at the beginning of process. It is imperative that the involvement of the national government
and stakeholder groups like financial institutions, insurance organization, politicians, and tourism
businesses be encouraged. A critical decision at this first stage is which group or agency should be
given the lead role in risk management/crisis or disaster response. Traditionally, risk planning and
low-level problems are retained by tourism authorities (e.g., educational campaigns for tourists
about sun protection). A crisis response is traditionally coordinated by police (eg. a hotel fire),
whereas a disaster (e.g., a major flood) is managed by emergency services. In establishing the risk
management context for any tourism destination the roles and responsibilities of various
stakeholders must be made clear at the outset (Robertson, Kean and Moore, 2006).
Development of some risk evaluation criteria should also be made while establishing the context.
These criteria are simple, basic statements of what is unacceptable and acceptable risk. The tourism
industry or operator will tolerate risks that considered acceptable while risks that are considered
unacceptable will be treated accordingly. These decisions are based on various operational,
technical, financial, legal, social, and humanitarian criteria.
5.2 Step 2 Identify Risks
The second step in the risk management process is identifying the risks to be managed. It is
necessary to identify the sources of risk (hazards) to the tourism destination or operator especially
those which pose a threat to the safety and security of visitors and employees.
According to Wilks and Moore (2006) the common methods that can be used to identify risk are as
follows:
• Experience and records: Internal and industry records for the types of incidents that have
happened in the past are reviewed.
• Brainstorming: those are knowledgeable of the event are gathered to find out things that
that went wrong, and why and how they went wrong.
• Analysis: Internal systems and processes to identify critical points are analyzed. For example,
when will event volunteers be briefed, it may be a critical point in the process and the last
opportunity to ensure they have the relevant information. Equally, the organizer may be
engaging other services for the event and will need to ensure that the provider is able to
demonstrate adequate insurance cover prior to any contract being signed off.
• Personal feedback: Any reports or reviews that might identify things that could affect the
ability of the event to succeed are examined. The advent of social media means that many
successful and less than successful events have running commentary available relating to
how well those events were managed. More broadly, using the internet can help identify
how well similar international, national and state events have been run and put organizers in
contact with event managers who can provide personal feedback.
• Audit and other recommendations: Findings (e.g. of financial audits or post event
evaluations) as they may also identify things that could affect the ability of the event to
succeed are thoroughly examined.
After identifying the sources of risks that have impact on tourism destination or business, it is also
important to identify the elements which would be affected by the risks. These can be visitors,
employees, structures, services, facilities and reputation to name a few.
Not all sources of risks are equally important. Prioritize sources of risk – those which affect visitors
and the reputation of the destination or operator and which would have serious consequences
should be given priority (Robertson, Kean and Moore, 2006).
Risk does not remain static. Changes in the environment and the community and globally will mean
that new sources if risk will occur. As such sources of risk must be monitored and reviewed on a

Assignment 2
Kindly retrieve and read the article written by Dr. David Hillson entitled Project risks: identifying
causes, risks, and effects.
https://www.pmi.org/learning/library/project-risks-causes-risks-effects-4663

Within the context of the tourism industry and allied businesses identify at least two risks and their
corresponding causes and effects. Use the risk metalanguage suggested by the article.
‘As a result of <definite cause>, <uncertain event> may occur, which would lead to <effect on objective(s)>’
regular basis.

5.3 Step 3 Analyze Risks


The analysis phase of risk management involves assessment of the identified risks, in terms of their
impact on a business or tourist destination. Minor and acceptable risks need to be separated from
those major risks that need to be managed. A standard way of making these assessments is to
consider the likelihood (frequency or probability) of occurrence and the consequences (impact) of
the identified risks. It is essential to understand risks and their consequences. And one must also
decide which risks will have the most negative effects and which one must be addressed with utmost
priority (Wilks and Moore, 2006).
There are many ways to classify risk for the purposes of analysis. The Australian/New Zealand
Standard presents Tables 1, 2 and 3 as examples of qualitative measures as mentioned by
Robertson, Kean and Moore (2006).

Table 1 Qualitative Measures of Consequence for Tourism Risk Management

Table 2 Qualitative Measures of Likelihood


Table 3 Qualitative Risk Analysis Matrix – Level of Risk

Legend:
E: Extreme risk; immediate action required
H: High risk; senior management attention needed
M: Moderate risk; management responsibility must be specified
L: Low risk; manage by routine procedures

As part of the process of assessing the likelihood and consequences of identified risks, it is important
to note that even a relatively minor incident can blow up into a public crisis. According to Wilks and
Moore (2006) some of the factors identified as likely to escalate a crisis include:
a. Number of people involved
This goes without saying – the greater the number, the bigger the crisis.
b. Age of the people involved
The media are far more aggressive in reporting stories that affect children.
c. Prominence of people involved
A "high profile" person, or one with significant connections can guarantee high media
interest.
d. Level of media interest or their access to a story
Even modest media interest is going to guarantee that you have a potential public relations
crisis on your hands. Reporters look for attention-grabbing headlines. Weaknesses in an
organization’s response will be reported with little mercy.
e. Nature of incident
Any incident following on from a similar recently reported incident, however coincidental, is
more likely to attract attention than if it had been an isolated incident.
f. Visibility
In the age of portable video and digital cameras, graphic pictures of an incident site can be
transmitted around the world within minutes.
Assignment 3
Kindly retrieve and view the YouTube video of Kobi Simmat on Risk Ranking Matrix - HOW TO RANK
RISK ISO 9001
https://www.youtube.com/watch?v=MrowycTmRXo

Answer these two questions using the Risk Matrix below:

1. If the risk rating is assessed at ’10 Moderate’, what are the corresponding severity and likelihood
ratings
a. Severity is ‘Major’ and Likelihood is’Possible’
b. Severity is ‘Catastrophe’ and Likelihood is’Possible’
c. Severity is ‘Minor’ and Likelihood is’Possible’
d. Severity is ‘Major’ and Likelihood is’Rare’
2. If the severity of the potential outcome is assessed to be’ major’ and the likelihood of the potential
outcome is assessed to be ‘possible’, what is the resulting risk rating?
a. 24 (Catastrophic)
b. 14 (High)
c. 18 (High)
d. 9 (Moderate)

5.4 Step 4 Evaluate Risks


This step involves comparing the level of risk found during the analysis process with previously
established risk criteria. Risks are therefore evaluated whether they are acceptable or not. Those
that are acceptable are tolerated while those that are not are treated accordingly. Social, economic
and political priorities are considered during this evaluation. It is best to remember that visitors are
the key stakeholders in the risk management process. Thus risks which are considered unacceptable
by visitors must be given top priority and addressed appropriately (Wilks and Moore, 2006).
It is also crucial in this particular step to identify how the risk is being mitigated. Adequacy of existing
control should be examined. In other words control measures have to be in place and are working
to prevent crises or limit their impacts.
In some cases a business owner may be determined to address the risk himself. But not every risk
should be his lone responsibility. There are cases that the business owner may not have the
resources and capabilities to do so. As such the issue should be brought to the attention of the
responsible agencies. It is essential to determine what issues should be addressed at local, regional
or national level – or all three? Risk management provides an important opportunity to develop and
promote inter-agency relationships (Robertson, Kean and Moore, 2006).
5.5 Step 5 Treat Risks
Risk treatment involves identifying the range of options available to operators and destinations,
making plans and acting upon them. A useful way to visualize this process is through the Risk
Evaluation Matrix (Figure 2) as illustrated by Wilks and Davis (2000).

Figure 2 Risk Evaluation Matrix


For tourism operators and destinations, strategies for treating risk tend to fall into one of four broad
categories, depending on the likely frequency of risks occurring and their severity of impact.
Generally, the options include accepting/retaining, avoiding, transferring or mitigating/reducing risk
Where frequency of problems is low and severity is also low, most organizations and destinations
retain or accept a certain level of risk. This ‘self-insurance’ is part of being in business. At the other
extreme, when frequency and severity are potentially both high, the most responsible decision is to
avoid risk by cancelling services, or in the worst-case scenario, withdrawing from the marketplace.
Where the severity or consequences of risk are high (e.g. a customer being injured or killed; loss of
property in a storm or cyclone; the potential for a major lawsuit for negligence) but such events do
not occur very frequently, tourist operators traditionally relied on insurance to transfer their risk to
a third party.
Hillson (2003) set some criteria by which one can test whether the planned risk treatments are likely
to work. To be effective, all proposed risk treatment should be:

 Appropriate – The correct level of treatment must be determined, based on the significance
of the risk. This ranges from a crisis treatment where the project cannot proceed without
the risk being addressed, through to a “do nothing” treatment for minor risks. We should
not spend large amounts of time or effort developing aggressive treatments for minor risks,
but we must also not spend too little time considering how to deal with key risks.
 Affordable – The cost-effectiveness of risk treatments must be determined, so that the
amount of time, effort and money spent on addressing the risk does not exceed the
available budget or the degree of risk exposure. Each risk treatment should also have an
agreed budget, added to the approved project cost plan.
 Actionable – An action window should be determined, defining the time within which risk
treatments need to be completed in order to address the risk. Some risks require immediate
action, while others can safely be left until later. We must be careful not to leave it too late
before we act.
 Achievable – There is no point in describing risk treatments which are not realistically
achievable or feasible, either technically or within the scope of our capability and
responsibility. If your planned treatment is “Hope for a miracle” or “Invent a radical new
solution”, you may be disappointed!
 Assessed – All proposed risk treatments must work! The “risk-effectiveness” of a treatment
is best determined by making a “post-treatment risk assessment”. This assesses the level of
residual risk assuming effective implementation of the treatment, including secondary risks
of course. The situation after implementing the risk treatment must be better than before!
 Agreed – The consensus and commitment of relevant stakeholders should be obtained
before agreeing treatments, especially if the proposed treatment might affect a part of the
project in which they have an interest.
 Allocated and Accepted – Each risk treatment should be owned by a single person (and
accepted by them) to ensure a single point of responsibility and accountability for
implementing the treatment. Allocating risk treatments requires careful delegation,
including provision of the necessary resources and support to allow effective action to be
taken.
Lastly, in order to reduce risk in all areas, individual operators and tourism destinations as well, need
to shift their attention to mitigating risk through ‘best practice’ initiatives such as having written
policies and procedures, staff training, signage, visitor and customer briefings, and monitoring of
industry standards (Department of Industry, Tourism & Resources, 2002). Even if particular risks do
not traditionally occur very often, reducing risk through ‘best practice’ initiatives is essential in
today’s business environment (Wilks & Davis, 2003).
5.6 Step 6 Monitor and Review Risk
In the succeeding paragraphs SkillMaker (2013) explained the importance, purpose and process of
risk monitoring:
Risk monitoring is the process which tracks and evaluates the levels of risk in an organization. As well
as monitoring the risk itself, the discipline tracks and evaluates the effectiveness of risk management
strategies. The findings which are produced by risk monitoring processes can be used to help to
create new strategies and update older strategies which may have proved to be ineffective
The purpose of risk monitoring is to keep track of the risks that occur and the effectiveness of the
responses which are implemented by an organization. Monitoring can help to ascertain whether
proper policies were followed, whether new risks can now be identified or whether previous
assumptions to do with these risks are still valid. Monitoring is vital because risk is not static
Risk monitoring is important because it helps to highlight whether strategies are effective or not.
Risk monitoring can impact upon the management of organizational risk because it can lead to the
identification of new risks. Strategies may also need to be changed or updated depending on the
findings of risk monitoring strategies.
In order to perform risk monitoring, risk must be identified and evaluated. Once a risk action plan
has been created, a timeline should also be created to ensure that check-ups are done in a timely
fashion. In order to monitor the implementation of actions, tick boxes may be used, to show that
each step of the process has been followed. Notes should be kept at every stage of the
implementation and action process, so that these can be analyzed and referred to during the
monitoring phase of the process.
6. Sources of Hazards and Risks
Hazard is defined as a potentially damaging physical event, phenomenon or human activity that may
cause the loss of life or injury, property damage, social and economic disruption or environmental
degradation. Risk on the other hand is the probability of harmful consequences, or expected losses
resulting from interactions between natural or human-induced hazards and vulnerable conditions.
Granger (2000) divided the hazard phenomena into four groups, on the basis of their origin (Table 4).

Table 4. Classification of Hazards


The World Tourism Organization (2003c) as reported by Wilks and Moore (2006) takes the view that
risks to the safety and security of tourists, host communities and tourism employees can originate
from four source areas:

 The human and institutional environment outside the tourism sector;


 The tourism sector and related commercial sectors;
 The individual traveller (personal risks); and
 Physical or environmental risks (natural, climatic, and epidemic).
In the succeeding sections Wilks and Moore (2006) expanded these areas to show the full extent
that risk is present in each sector:
6.1 The Human and Institutional Environment
The risks from the human and institutional environment exist when visitors fall victim to:
• Common delinquency (theft, pick-pocketing, assault, burglary, fraud, deception);
• Indiscriminate and targeted violence (such as rape) and harassment;
• Organized crime (extortion, the slave trade, coercion);
• Terrorism and unlawful interference (attacks against state institutions and the vital
interests of the state), hijacking and hostage taking;
• Wars, social conflicts and political and religious unrest; and
• A lack of public and institutional protection services.
6.2 Tourism and Related Sectors
Through defective operation, tourism and sectors related to tourism such as transport, sports and
retail trade can endanger visitors' personal security, physical integrity and economic interests
through:
• Poor safety standards in tourism establishments (fire, construction errors, lack of anti-
seismic protection);
• Poor sanitation and disrespect for the environment’s sustainability;
• The absence of protection against unlawful interference, crime and delinquency at
tourism facilities;
• Fraud in commercial transactions;
• Non-compliance with contracts; and
• Strikes by staff.
6.3 Individual Travellers
Travellers or visitors can endanger their own safety and security, and those of their hosts by:
• Practicing dangerous sports and leisure activities, dangerous driving, and consuming
unsafe food and drink;
• Travelling when in poor health, which deteriorates during the trip;
• Causing conflict and friction with local residents, through inadequate behavior towards
the local communities or by breaking local laws;
• Carrying out illicit or criminal activities (e.g. trafficking in illicit drugs);
• Visiting dangerous areas; and
• Losing personal effects, documents, money, etc., through carelessness.
6.4 Physical and Environmental Risks
Finally, physical and environmental damage can occur if travellers:
• Are unaware of the natural characteristics of the destination, in particular its flora and
fauna;
• Are not medically prepared for the trip (vaccinations, prophylaxis);
• Do not take the necessary precautions when consuming food or drink and in their
hygiene; and
• Are exposed to dangerous situations arising from the physical environment (natural
disasters, epidemics
7. Four Phases of Crisis Management
According to Wilks and Moore (2006) crisis management can be broken down into four distinct
phases namely; i. reduction (detecting early warning signals), ii. readiness, (preparing plans and
running exercises) iii. response, (executing operational and communication plans in a crisis situation)
and iv. recovery (returning the organization to normal after a crisis). An effective crisis management
system continuously updates and refines the first two phases, in preparation for the second two.
Wilks and Moore (2006) expanded the explanation of the four phases of crisis management in the
succeeding subsections:
7.1 Reduction
The key to crisis management is to identify a potential crisis, then seek to reduce its impact.
Managers need to perform a survey of their organization’s internal strengths and weaknesses and
external opportunities and threats (a SWOT analysis). Based on this analysis, they can evaluate the
likely impact on the organization of a particular type of crisis, devise continuity and contingency
plans and work out how to reduce the possibility of a crisis.
7.2 Readiness
"Being Ready" involves more than making plans and running an occasional drill. Organizations need
to evaluate their crisis exposure and develop strategic, tactical and communication plans. Managers
must regularly audit the plans, conduct crisis response exercises and continually acquire crisis
management skills. Managers and staff need to be psychologically and physiologically prepared for
the impact and stresses that crisis events may impose upon them. Readiness also nips potential
crises in the bud.
7.3 Response
Response is dedicated to the immediate aftermath of an event when everything is at its most
chaotic. It will become very quickly apparent whether the reduction and readiness phases have
developed continuity and contingency plans that are effective. The initial operational emphasis will
be on damage control in both lives and property. The crisis communications strategy should already
be in play, pre-empting and reassuring stakeholders and the public.
7.4 Recovery
The best assessment of effective crisis management is if a crisis has been avoided. However, many
crises are "acts of the gods" – seemingly unavoidable. In this case, a crisis management system’s
effectiveness can be gauged three ways:

 The speed with which an organization resumes or continues full business operations;
 The degree to which business recovers to pre-crisis levels, and
 The amount of crisis-resistance added since the crisis. That is, how the lessons learned have
been incorporated into ongoing preparation and preparedness to avoid future problems.
Assignment 4
Kindly retrieve and read the article written by Dr. Peter E. Tarlow entitled Best practices in tourism
security, risk management and crisis recovery
https://www.eturbonews.com/156200/best-practices-tourism-security-risk-management-
crisis-recovery/
Write an essay that will answer the following questions:
What other agencies would be responsible for crime affecting tourism? How would business
owner bring this problem to the attention of the responsible agencies? Should such issues be
addressed at local, regional or national level –or all three?

5. Final Assignment
In a narrative prepare a risk management plan taking into consideration the following points:
1. In the internet choose an actual tourism destination, tourism related facility, sports
related programs or activities (i.e., quick service restaurant, dine-in restaurant, hostel,
bed and breakfast facility, 5 star hotel, motel, playground, amusement park, swimming
pool, fitness center, sports field) in which to conduct this particular assignment.
2. Virtually inspect the area and identify at least 2 hazards that can cause potential risk (i.e.,
a swimming pool without depth markers or proper fencing, a fitness center with
damaged equipment, hotel without fire safety system, restaurants’ kitchens with slippery
floor)
3. Take a take at least one photograph/image of each potential risk.
4. For each of the two potential risks:

a. Describe the potential risk. Describe the type of injury and lawsuit (i.e.,
negligence for failing to maintain equipment, for failing to warn, for failing to
meet local codes, etc.) that may result from the risk
c. Classify and evaluate the potential risk/injury according to severity and frequency
d. Describe how you would treat the potential risk (i.e., signage, supervision,
warnings, maintain and inspect equipment, eliminate, etc.)
e. Identify how you would implement their plan (staff training, printed guidelines,
create or modify policies, etc.)

5. Provide supporting information that could be used to evaluate the applicable standard of
care (i.e., similar case law examples; statues/codes; rules of a sport; the program's own
policies or rules; standards/guidelines/position stands from governing bodies and
professional associations, community standards, etc.), if a hypothetical injury/death did
occur as a result of the risk they identified
8. References
Department of Industry Tourism and Resources. (2002). The 10 Year Plan for Tourism. A Discussion
Paper. Canberra: Department of Industry Tourism and Resources
Granger, K. 2000. An information infrastructure for disaster management in Pacific island countries
Australian, Journal of Emergency Management. p.25
Hillson, D. 2003. Grade A Risk Responses (available online) https://risk-doctor.com/wp-
content/uploads/2020/06/03-Grade-A-risk-responses.pdf
Robertson, D., Kean I. and Moore S. (2006). Introduction to Risk Management in Tourism –
Instructor’s Guide. Singapore: Asia-Pacific Economic Cooperation
SkillMaker, 2013. Risk monitoring. https://www.skillmaker.edu.au/risk-monitoring/
Tourism Western Australia (2014). An Introduction to Risk Management for Event Holders in
Australia. Australia: Western Australian Tourism Commission
Wilks, J. and Davis R. (2000). Risk management for scuba diving operators on Australia’s Great
Barrier Reef. Tourism Management
Wilks, J. and Davis R. (2003). International tourists and recreational injuries. Plaintiff, 59, 8-14.
Wilks, J. and Moore (2006). Tourism Risk Management – An Authoritative Guide to Managing Crises
in Tourism. Singapore: Asia-Pacific Economic Cooperation

You might also like