Risk Assessment Analysis

Skill level: Beginner/intermediate

Description

A risk assessment analysis is a method of defining risks and establishing ways to mitigate them.

There are two basic types or risk:

  • Business risk, such as project failure
  • Occupational risk, such as personal injury

Both share a common methodology that begins with identifying hazards, ranking them, and then seeking to mitigate them.

Benefits

  • Helps reduce risk levels
  • Eliminates confusion

How to Use

  • Step 1.  Create a list of the risks a system faces. Review all system inputs and outputs and the environment the system works within.
  • Step 2.  Brainstorm a list of options that would minimize the likelihood or impact of the risks.
  • Step 3.  Brainstorm a list of actions to be taken should a risk occur.
  • Step 4.  Identify and implement any proactive actions or changes required based on these findings.

Relevant Definitions

Not Applicable

Example

Two examples of brainstorming results are captured below. The first example identifies risks, impacts, and mitigation methods related to general business risks. The second considers work process risks related to house construction.

Business Risk

Risk_Assessment_Analysis_Table1

Work Process Risk Assessment for House construction

Risk_Assessment_Analysis_Table2

 

« Back to Glossary Index