Talking Risk

That’s an interesting example, but yes, you get the gist of it. The fact that you may not make it to work because you are going to music festival, is a risk to completing the assignment on time.

Sooo … when there is a specific task to be done, and something can happen that can prevent it from being completed, then that ‘something that can happen’ is the risk.

Ok, ok, so check this … the boss gave me an assignment and when I think about it, I realize that I may not finish in time. You see, music festival coming up ‘round the same time and I don’t think I going make it to work after the soca night and then I have to rest up for Buju on Saturday night! So going to music festival is a risk?!

You hit the nail right on the head!

Well …it looks like I will never get anything done because it’s a lot of things that can happen to affect everything I do … a lot of risks!!!! Boy, is like risk everywhere!

But wait … when you were using all those big terms earlier, you did say something about positive impact? So I ain’t hear anything else ‘bout that!

Ha ha ha … no worries … there is a process for you to manage these risks … it’s not as bad as you think.

Sure, let me explain with an example …

Ii

Wait ... I got this … Objective - to maximize profit. Probability of an event occurring - the opposition may win the election. Positive impact – tax reduction, more profit for my friend ( IF they win … we will see what happens).

Man … you catch on quick! Next time when we meet up, we will talk some more about how to deal with the risks. Catch you later…

So … your friend with the supermarket, pays 33% tax on his profit every year. I hear the opposition saying if they win the elections they will reduce the tax rate to 20%!! That means …

Ii