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A risk matrix is a tool that is normally used to assess the level of risk and assist the decision-making process. It takes into consideration the category of probability, or likelihood, against the category of consequence severity.

A risk assessment matrix is the table (matrix) used for allocating risk ratings for risks that you identify, based on two intersecting factors: the likelihood (or probability) of a security risk-based event occurring, and the consequence (or impact) to an asset if it did.

A risk matrix is a matrix that is used during risk assessment to define the level of risk by considering the category of probability or likelihood against the category of consequence severity. This is a simple mechanism to increase visibility of risks and assist management decision making.

Risk assessment is a term used to describe the overall process or method where you:Identify hazards and risk factors that have the potential to cause harm (hazard identification).Analyze and evaluate the risk associated with that hazard (risk analysis, and risk evaluation).More items...

How to Conduct a Risk AssessmentStep 1: Identify Hazards. Relating to your scope, brainstorm potential hazards.Step 2: Calculate Likelihood. For each hazard, determine the likelihood it will occur.Step 3: Calculate Consequences.Step 4: Calculate Risk Rating.Step 5: Create an Action Plan.Step 6: Plug Data into Matrix.

The risk matrix is based on two intersecting factors: the likelihood that the risk event will occur, and the potential impact that the risk event will have on the business. In other words, it's a tool that helps you visualize the probability vs. the severity of a potential risk.

How do you calculate risk in a risk matrix?Step 1: Identify the risks related to your project.Step 2: Define and determine risk criteria for your project.Step 3: Analyze the risks you've identified.Step 4: Prioritize the risks and make an action plan.

A risk matrix helps you to assess the risks that are associated with incidents that require investigation and other work that you must perform. In the Risk Matrix application, you identify the consequences of work to be performed.

A risk matrix is essentially a tool that can help you understand the risks your organisation faces, and their overall likelihood and severity, in a visual way.

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Indiana Risk Evaluation Specialist Matrix

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