Analyze Risk

After establishing the areas in your processes/activities were risk may occur and we have identified the risks this might entail, the next step to analyze these potential risks. Risks are about events that, when triggered, cause problems and for that reason risk identification always starts with the source of problems, or with the problem itself. For example the following methods could be considered;
• Source analysis Risk sources may be internal or external to the processes/activities that is the target of risk management. Examples of risk sources are: stakeholders of a project, employees of a company or the weather over an airport.
• Problem analysis Risks are related to the identified threats of said risk. For example: the threat of losing money, the threat of abuse of privacy information or the threat of accidents and casualties. The threats may exist with various entities, most important with shareholders, customers and legislative bodies such as the government. The chosen method of identifying risks may depend on culture, industry practice and compliance.