Risks And Risks Of Risk

* Estimate the risk level and probability and then determine the severity using the risk assessment matrix

There are two main types of risk management assessments. They are qualitative and quantitative methodologies. With the qualitative methodology, a relative values are used to determine the probability and impact of a risk (Gibson, 2011). This type of information can be collected quickly. A quantitative risk assessment is used to estimate how much money would be lost should a vulnerability be exploited (Vanderberg, n.d.). With the quantitative methodology, actual dollar values are used. It can take a time to gather this type of data. Once the data is gathered, however, a math formula is used to determine the priority of risks and in turn show the results of controls (Gibson, 2011).

The probability and impact of occurrence for each identified risk will be assessed by the project manager, with input from the project team

The purpose of Risk Assessment is to indentify hazards which could cause harm, assess the risk which may arise from those hazards and decide on a suitable measure to eliminate, or control the risk. A Risk Assessment for the event can only be carried out once information has been received from contractors, other companies and self employed people will

At any instances of undertaking the operation of reducing the risk. The processes should be assessed further to make sure that they are effective, efficient and reliable .To accomplish that the supervision and assessment team should consider several characteristics and events at which the risks

Probability is a number greater than zero and less than one. By using risk impact we assessed the probabilities and effects of the cost risk and then prioritized these risks regarding to their rating scale and importance. A high risk probability meant a high cost impact. In addition, multiplying probability by impact helped us to measure the exposure rate which represented the overall threat of the cost risk. We generally gave a great attention to deal first with risks that have high rates, using the probability and impact matrix as a reference during the entire project development course.

An elevated interest by partners and a developing number of requests to see the results of risk evaluations have activated inquiries concerning what a risk assessment should involve, who should to be involve, how to maintain and revive the process, also, how to make an interpretation of results into action and risk informed decision making.

Step 3: Communicate Results-Inform the stakeholders of the results of the risk assessment so they can make well-informed decisions

Identify and prioritize all related risks and perform root cause analysis to understand the effect of those risks, if left unattended, may cause higher levels of risks.

The risk assessment is to be performed on this system and the steps are as follows

Risk assessment methods: To decide on priorities and setting objectives, so that hazards can be eliminated and risks reduced Hughes and Ferrett (2008: 20).

 analysing the risks to determine the level of risk, which is defined as the

Risk Assessment Functions | Risk Assessment Process | The Probability-Impact Matrix | Risk Categorization | Risk Owners |Completing the Assessment | Summary

Over the course of the last five weeks we have discussed the varying aspects of risk, risk management and the transfer of risk which we more commonly refer to as insurance. Along the timeline of the history of insurance there has been a growing disconnect between the people who buy insurance and the companies and people who provide insurance. This disconnect, along with confusion about an extremely intricate and confusing subject has created a sense of anti-insurance sentiment which could be problematic because insurance has a purposeful place in our society. Through this paper I would like to discuss the need for insurance. I will touch on the nature and function of insurance along with several other sub topics such as the law of large numbers, risk sharing and risk transfer, and insurance from the varying aspects of the society at large. I hope to clarify rather complex notions about the elements of insurable risk and the feasibility of self insuring.

They decided to use a table to show the risk event, the likelihood, the severity and by multiplying the two providing a risk priority number (RPN). This would the allow ranking of the risk elements. For the three highest ranked elements, the group then generates a mitigation process with someone in the group taking ownership of that process. As can be seen, the top three risks were identified and mitigation tasks put in place to either prevent the risk event happening or to reduce its effect. The initials of the ‘owners’ of that risk in the last column show who has agreed to monitor that set of events and ensure that the mitigation is put into place before the project suffers from that event occurring. Questions: 1. What further methods could have been used to generate ideas for the identification part of the risk process? 2. What should happen as the project progresses to manage risk?