Estimated Reading Time: 3 minutes
By the NRMC Team
Measures to address risk should be practical and within the reach of the organization. Every nonprofit, from the largest to the smallest, can and should take time to look into the future and predict both downside and upside risks. In fact risk management is extremely important for small nonprofits with limited resources to draw on when things turn out differently than they expect. It is up to each nonprofit to select the strategies and approaches that is can afford and reasonably accomplish.
The risk management process as taught by the Nonprofit Risk Management Center consists of five important steps. When followed judiciously, the steps become part of the nonprofit’s decision-making process and become stronger with each use. The steps are listed here and then applied to a sports and recreation program as an example.
Risk is inherent in any sports or recreation program. To remove the potential of risk or injury completely would change the fundamental nature of the sport. To change the way coaches, officials and administrators access risk often makes the difference between safety and injury. In sports and recreation, the risk management process may play out as follows:
The Nonprofit Risk Management Center welcomes your questions at 703.777.3504 or info@nonprofitrisk.org.
“First let me congratulate you on a conference well done. I had a great time at the Nonprofit Employee Benefits Conference and walked away with some valuable tools and questions that we’ll need to be addressing in both the short and long term. Thanks to you and your staff for all you do to provide us with quality resources in support of our missions.”
“BBYO’s engagement of the Center to conduct a risk assessment was one of the most valuable processes undertaken over the past five years. Numerous programmatic and procedural changes were recommended and have since been implemented. Additionally, dozens (literally) of insurance coverage gaps were identified that would never have been without the work of the Center. This assessment led to a broker bidding process that resulted in BBYO’s selection of a new broker that we have been extremely satisfied with. I unconditionally recommend the Center for their consultative services.
“Melanie Herman has provided expert, insightful, timely and well resourced information to our Executive Team and Board of Directors. Our corporation recently experienced massive growth through merger and the Board has been working to better integrate their expanded set of roles and responsibilities. Melanie presented at our Annual Board of Director’s Retreat and captured the interest of our Board members. As a result of her excellent presentation the Board has engaged in focused review which is having immediate effects on governance.”
“The Nonprofit Risk Management Center has been an outstanding partner for us. They are attentive to our needs, and work hard to successfully meet our requests for information. Being an Affiliate member gave us access to so many time- and money-saving resources that it easily paid for itself! Nonprofit Risk Management Center is truly a valued partner of The Community Foundation of Elkhart County and we are continuously able to optimize staff time with the support given by their team.”
“The board and staff of the Prince George’s Child Resource Center are extremely pleased with the results of the risk assessment conducted by the Nonprofit Risk Management Center. A thorough scan revealed that while we are a well run organization, we had risks that we never imagined. We are grateful to know that we have now minimized our organizational risks and we recommend the Center to other nonprofits.”
Great American Insurance Group’s Specialty Human Services is committed to protecting those who improve your communities. The Center team has committed to delivering dynamic risk management solutions tailored to nonprofit organizations. These organizations have many and varied risk issues, hence the need for specialized coverage and expert knowledge for their protection. We’ve had Melanie speak on several occasions to employees and our agents. She is always on point and delivers such great value. Thank you for the terrific partnership and allowing our nonprofits to focus on their mission!