Guidelines for Small Business Risk Management
A small business needs to take the appropriate measures to protect their physical and virtual assets. Buying insurance is one effective way to secure valuable possessions that might get damaged, stolen or lost. In order to save on business insurance premiums, the latest security technology can be used. For example, video surveillance systems can monitor the activities of employees in all areas that contain some sort of assets. If an insurance claim has to be filed for theft or damage, video recordings serve as important evidence. The mere presence of video cameras also acts as an effective deterrent for potential thieves and vandals.
In today’s high-tech era, small businesses are vulnerable to cyber attacks. Digital documents can easily fall into the wrong hands if businesses fail to take the proper IT measures. For example, cloud hosting is a reliable and safe way to store sensitive data that may include payment information such as credit cards and bank accounts. Small businesses must also have secure merchant accounts that are monitored daily for fraud and other suspicious activities. It’s important for small enterprises to have good relations with financial institutions that are likely to reimburse merchants who have been scammed by rogue customers with stolen credit cards.
Small businesses also need to properly manage their Internet networks that are used by employees and the general public. For example, Wi-Fi access should only be available to users who enter a valid password. Cafes, shops and office that offer free Wi-Fi with unprotected guest networks are vulnerable to hacking. Managers should also monitor the activities of employees who enter private networks for work-related purposes. High-level leaders of a small company are entitled to review all workers’ emails and other messages that may leak sensitive data to unwanted hands. To further minimize risks associated with cyber security issues, small businesses should conduct routine IT maintenance to ensure that their infrastructure is safe and up to date.
