What is Risk Assessment?

Definition:

Risk assessment is the process of determining whether a hazard exists in a product or a process and if it does, estimating the potential risks, severity and likelihood of its occurrence. It is the most important part of hazard identification. Risk assessment cannot be defined to a certain time duration. It is a process of identifying the risk and managing it. It helps in identifying the possible hazards and their effects and helps in predicting the consequences of the hazard in the future. It usually consists of gathering data and applying a scoring method to the information. The score will determine the risk level.

The final risk assessment report usually includes a list of the risks with a score, the risk mitigation measures for those risks, and an estimate of the cost and schedule impact of those measures.

As with any project, there are many factors that may influence the final risk assessment results. Those factors include the number of risks, the severity of the risks, the probability of the risks occurring, the cost and schedule impact of a risk, the risk mitigation measures, and the risk tolerance of the project sponsor or management.

Risks must be evaluated and, depending on the project, one or more risks must be reduced or eliminated. There may be risks that will never be fully eliminated. There will also be risks that can be mitigated through the implementation of risk mitigation measures, usually documented in the risk mitigation plan.

Risk assessment can help you understand the potential risks to you as an employer or to your organisation. In doing so it will help you to protect against all the ‘Risks’ that you are in control of.

So how does risk assessment work?

The most important things you need to think about when conducting a risk assessment are:

Who is affected?

Who is at risk?

What are the Risks?

Risk assessment methods:

There are many methods that can be used to create an initial risk assessment. Some of these methods are commonly used, and others are used for specific purposes. As noted earlier, the risk assessment method used will depend on the type of project and the desired result.

Qualitative risk assessment methods:

Risk assessment methods based on a qualitative approach are also known as qualitative risk assessment methods. The types of qualitative risk assessment methods are:

The qualitative risk analysis:

Qualitative risk analysis is commonly used to identify risks and their associated score. It is also used to identify the most significant risks and their potential impact.

One of the risk mitigation measures that might be associated with the identified risk is mitigation control of the risk.

In this method, the risk assessment consists of answering a series of questions regarding the project and the people involved in it. The answers to these questions are called the project risks, the main risks, and the significant risks.

Qualitative risk assessment:

Qualitative risk analysis uses a qualitative method of risk analysis and is commonly used to assess project risks in small to medium-sized projects. Qualitative risk analysis begins with an evaluation of the project, its people, the environment, and the management process. Using these criteria, the project risks and the associated risks are determined. The project risks are then scored.

Qualitative risk assessment tools are frequently developed in conjunction with the Risk Register, which is a systematic approach to gathering project information, and it also aids in the preparation of the risk assessment for use.

Project Risk Register:

A project risk register is a document used in preparing the risk assessment for a project. The project risk register is created after the project goals are defined. It is filled out with the project risks and their potential risks that are required to complete the risk assessment.

Risk reduction matrix:

A risk reduction matrix is a qualitative tool that is used to assess the relative importance of the project risks. This is usually done after the main risks and the project risks are identified in the risk assessment. It is sometimes called the priority matrix. This type of matrix is used when there are multiple project risks and multiple risk mitigation measures associated with the risks.

Risk assessment reduces exposure to radiation, chemical hazards and fire hazards. While risk assessment helps you find and eliminate safety and health risks, organizations must take steps to implement safety and health management systems and procedures.

Conclusion:

The organisation has a primary role in promoting the economic, environmental and social well-being of society. The employer’s role includes ensuring the safety and security of your employees, the security of your customers, and the safety of your community. To fulfil your role, you need to consider the safety of your employees, the safety of your customers and the safety of the community. This means ensuring that in the event of an incident you can mitigate risk, and to do this you need to understand the risks associated with your business and understand how to mitigate them. Although risk assessment is not a new concept, it is an essential part of your duty of care to employees, customers and members of the public. This duty of care will protect you from being liable for the health and safety and/or environmental wellbeing of others.