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Why risk assessment is important?

Updated: 9/18/2023
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SEKARA

Lvl 1
13y ago

Best Answer

Risk Assessment is part of Risk Management, a formalized process for ensuring that organizations do not expose people to unacceptable risk.

Identifying a risk is not much use unless its magnitude is assessed and that is not much use unless you decide whether it matters and how likely it is and what you can and should and will do about it to mitigate it.

Unfortunately there is a natural reluctance to apply formal procedures in some places as they are perceived to be costly in time and effort. But this is very short-term thinking. A risk that is not managed properly will bring regret sooner rather than later, and it can never be managed if it's not assessedfirst.

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