Five General Steps in Conducting Risk Assessment - Business Media Group

Five General Steps in Conducting Risk Assessment

Assessing risks and handling them correctly is part of what makes every business viable. But conducting a risk assessment is not merely done to protect the interests of a company. It is vital to be in compliance with local laws as well as an essential aspect of making sure that employees are protected.

Most companies delegate a risk assessment and management team to attend training and gain competence in how to identify risks, as well as handle them. Another way a company can effectively conduct risk assessment is via firms that specialize in helping organizations with assessing hazards and managing crises. One example is the A2 Risk Assessment where the service entails many of the steps involved in comprehensive risk identification and mitigation.

How is risk assessment conducted?

Risk assessment strategies may vary from one firm to another. But to understand the general principles of how it is conducted, here are the five steps for risk assessment.

  1. Identifying hazards. A hazard is defined as an event that may cause harm, while risk is the chance of that particular hazard occurring. In every business, there are different kinds of dangers that could put employees at risk. One of the simplest ways to identify these potentially hazardous conditions is to assess the workplace and point out certain dangers. It also helps to involve employees by asking them what they feel might be a potential cause of harm to them while in the workplace.
  2. Identifying key individuals who are at risk. Once you’ve determined the possible origins of hazards in the workplace, the next step is to pinpoint specific individuals who are exposed to the dangers of these hazards. In some cases, even the public may be vulnerable as well, which is why it is vital to take note of this.
  3. Risk evaluation and control. After clear identification of hazards and who is potentially at risk from them, the next step is evaluating the risk of the likelihood of these hazards occurring as well as employing measures necessary to prevent or control them.
  4. Record your assessment. Risk assessment won’t be complete if you are unable to keep a record of your findings. The report needs to be comprehensive and detailed such that it includes every step of the process including your recommendations on what the company can do to minimize these risks.
  5. Update the risk assessment as needed. It is possible for conditions to change within the workplace in such a way that hazards identified in the past are eliminated and new ones identified. A regular risk assessment update is also necessary to keep track of changes in the workplace which affect the occurrence of risks that may harm employees and the general public.

Operating a business is not without risks, and every company owner needs to invest in a risk assessment strategy not only to comply with the law but also to protect employees and guarantee a safe working environment while at the same time also ensuring that customers and other stakeholders are afforded the same amount of protection.

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