Talking Risk

So how do you determine which risk is higher?

It’s not an ‘x’. It’s a multiplication sign! (Smh) …

And you all think it was so funny when I said solve for ‘x’? Look it there now!

Once we calculate the scores, we focus on crafting a response for

You can’t take a joke?

Using a range of 1 – 5 where one is low and 5 is high, we rate the impact and the likelihood and come up with a score for each risk. Risk is a combination of likelihood and impact; therefore:

risks that have a higher risk score.

Risk Score = Impact x Likelihood

Ok, ok … so let’s score the risks we talked about.

The pardner just say don’t waste time on them low risk things and pay attention to the high risk!!! Does 6 sound like a high number to you ?? Anyway, the impact of me not finishing the assignment is very high - 4 . And since ‘some people’ don’t want to help me out, likelihood is also 4. That gives a risk score of 16 , which is pretty high.

The impact of my brother finishing his CFA 3 months later is low, so that’s a 2 . Let’s say he applied for the visa and gets it; the likelihood is a 3 . The risk score would be 6 , which is on the low end. So, we forget he, and move on.

Just so? You ain’t even give it any thought.

We???? The last time I went to music fest was the year when they had bring Burning Flames and I was at work bright and early the next day to complete all my assignments.

Good, so we now need to come up with a response to manage this high risk.

Thanks for the history lesson. That was so long ago, I sure not even Burning Flames remember. Anyway, I already have a response - I will start my assignment earlier and sleep a little less on the Saturday to finish it before I go Buju. I’ve got options!!

Great! The overall risk scores readily identifies the risks that need immediate attention and then we decide on the appropriate response to reduce the risk to a manageable level.