2. Risk management tools Include two broad approaches: (1) Risk control focuses on minimizing the risk of loss A Risk avoidance B Risk reduction: loss prevention loss control (2) Risk financing focuses on finding funds to meet losses2. Risk management tools Include two broad approaches: (1) Risk control focuses on minimizing the risk of loss A. Risk avoidance B. Risk reduction: loss prevention & loss control (2) Risk financing focuses on finding funds to meet losses