Tips On How To Conduct A Risk Assessment Matrix

You are the risk assessment matrix team required to come up with the possibility of any risks occurrence in your workplace, but with no idea how to go about? The risk assessment matrix is all you need to increase the visibility of the risk and enhance the management decision making on safety measures to undertake. So, how do you go about it? Here is step by step on how you will conduct your risk evaluation.

Risk Evaluation Ultimate Guide

Identify Hazards

Relating to your brainstorm potential risk. The available spreadsheet should be comprehensive and long and might include burns and falls, to fraud and theft, societal damage, and pollution. All you need is to identify your area of risk and your objectives.

Calculate Likelihood

For each risk, find out the possible likelihood that can occur. This ranges on a scale of 90% to 95% chances or as the risk frequency. Try to base your likelihood by choosing each sheet that describes the proximity as follows;

Unlikely, this is those risks that are extremely very rare and always rated at a scale of 10% to occur.

Seldom; these are those risk that its occurrence possibility range 10-35 in a percentage scale.

Occasional; Risks that happens in a 35 to 65 range on a percentage scale.

Likely, the risks that are expected to cur at all costs. Ranges from 65 to 95 on a percentage scale.

Definite; risks that will range from 95 to 100. For these, you are confident they will happen no matter what.

Calculate Consequence

In the same spreadsheet, try to calculate the possibility of occurrence of each case; you can apply a quantitative dollar or descriptive scale or even both. Based on the size of the results pick the best bracket that defines well the losses as follows;

Insignificant; This means that the risk is so small and can cause almost zero damage. The uncertainty has no consequence to worry about.

Marginal; The results from the risk if it happens to occur will cause small damage. The hazards are likely to happen but with less impact.

Moderate; the results from the risk are expected to cause a moderate impact. At this stage, the risk is to be taken care of and overlooked.

Critical, the expected risk, if the risk happens, will cause severe damage that will lead to losses. This stage must be addressed with
immediate effect.

Catastrophic; If the risk occurs, it will cause enormous damage that will lead to an unbearable amount of loss. At this stage, evacuation of assets is preferred.

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