Social risk management

Social Risk Management

Social risk management

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Social risk management (SRM) is a new conceptual framework assigned and designed by the World Bank. The objective of SRM is to extend the traditional framework of social policy to the non-market based social protection of which its three primary strategies include prevention, mitigation, and coping. It is now well understood that social unrest is positively parallel to the poverty. Assisting individuals, households and communities to elevate living standard above the poverty level will harmonize global economy and strengthen the social security.


Prevention strategies

Prevention strategies are those implemented to avert a risk. Some typical measures could be:
  • In the labor market, SRM intervention targets skill training or job function improvement to reduce the risk of un/under- employment or low wages which are probably man-made.
  • In the financial market, SRM emphasize on optimizing macroeconomic policies to reduce the shocks of financial crisis, such as oil price surges, or unpredictable market moves on currencies, indices and blue chip stocks.
  • For natural disasters and environment degradation, SRM are gear to deploy a networked warning system or sustainable, renewable and environmental friendly eco-system to minimize the impact of the consequences.
  • In health care, SRM focuses on the prevention of pandemic illnesses by implementing vaccination and public health education programs. Setting up......
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