Business is risky by nature, which is why risk modeling is so important to the growth and success of your company. By plugging the right information into your computer, you can not only predict where your company is headed, but stave off bad business decisions to keep you financially afloat. It's well worth the time to find a program that fits your needs perfectly.

When you begin gathering risk-modeling information, you'll be bombarded with technical specs and benefits, and it can be easy to get overwhelmed by the process. Just remember that there are a few things that you need to look for specifically before making a decision, including:

1. Operating system: Make sure that the software is compatible with what you're currently using.

2. Features: Some programs deal with basic risk assessment while others can predict bad decisions and help steer you toward better ones.

3. Cost: Choose a program that does what it needs to do while staying within your budget.

Action Steps
The best contacts and resources to help you get it done

Get help with risk modeling by choosing a company that offers demos and training

No matter how good the software package is, risk-modeling training is imperative to the success of your implementation. You need an expert or training program to show you how to use the software so that you get the most out of it. If the company doesn't offer a demo or training program, move on to one that does.

I recommend: Get the proper training before using a risk modeling program. Vanguard Software Corporation and Frontline Systems both have demos that you can experiment with before purchasing. This will help you get a good feel for the program and get the most out of each feature.

Choose a company that offers help from a risk modeling consultant

Getting risk modeling advice from a program doesn't do you a lot of good if you don't understand the terminology used in the analysis. Many companies offer both software and one-on-one consulting to give you the best of both worlds.

I recommend: Work with a company that does it all. Protiviti and Vose Software offer both software and consulting options, so you can call up your consultant if you have questions about the software or the results it generates. You'll know that you're doing the best for your business with professional help and guidance.

Pick a risk modeling program that's largely automated

Another important aspect of risk modeling software has to do with automation. Most programs do many things automatically, which makes it even easier to get the results that you want with little input from you. Look for one that can run different analysis scenarios with a few clicks.

I recommend: Go with an automated program. Stat Pro and Palisade both have programs that are largely automated. All you do is plug in your information and wait for the decision making results to roll in.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Many risk automation software programs are tailored for specific industries or tasks, such as financial or human resources. Look for programs that are designed for your industry.