# The risk management process

Go back to the [[Risk Management Main Page]]

## 3 Questions to start your process

![Risk management starts with questions](https://i.imgur.com/YbJ8LOc.png)

1. What are your risks
2. What are you going to do about your risks?
3. Is your strategy effective?

## 6 steps of an effective risk management process

![The 6 steps](https://i.imgur.com/s7I7RGQ.png)

1. Identify Risks
2. Measure Risks
3. Own Risks
4. Address Risks
5. Implement risk management solution
6. Monitor risk management solution

These steps should answer the three big questions. Make sure you're solving the right problem.

These steps are expanded on in [[The importance of the risk management process]]

## VaR - Value at Risk

How much money is at stake from the risk.

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You may have managed the risk, but did you spend too much doing it?

Have you answered the big 3 questions?