Risk response

From ACT Wiki
Revision as of 23:34, 21 May 2021 by imported>Doug Williamson (Expand section on risk acceptance.)
Jump to navigationJump to search

Risk management.

A choice in relation to an identified risk which can be categorised broadly as the decision whether to:

  1. Avoid the risk, or
  2. Accept it in whole or in part.


The broad choice to 'accept' a risk can be further classified according to whether the organisation then retains, reduces or transfers the risk.

Using this model, the classes of potential risk responses are therefore four, namely:

  1. Avoid
  2. Accept and retain
  3. Accept and reduce, or
  4. Accept and transfer.


See also