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Risk

 

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RiskUnderstanding of The Event and Decision Making will help to understanding risk. Risk is what you don’t know. Risk increases with less information and more decision making. Risk is dependent upon a person’s ability to accurately predict an outcome. Meaning two people can see the same event and each will have a different level of risk. Technically a person with 100% information would have no risk.

Risk is discovered when a predicted outcome is not accurate. Risk although inefficient will generally not be eliminated completely only minimized. Methods to minimize risk could include:

1.Gathering of more information

2.Find an expert who can accurately predict the outcome

3.Creating a plan of action if risk occurs

4.Creating a plan to identify when actual outcomes deviate from predicted

 

Major points of Risk

 

 

 

 

Further Reading

 

 

Commonly Asked Questions

 

 

 

 

Examples of Risk

 

 

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1 Comments


Josh
03/06/14

Since studying the IMT, the idea of risk has been especially intriguing for me. I never would have thought that making more decisions causes greater risk. Now it is a very logical concept. I agree with the statement that says, “Risk is discovered when a predicted outcome is not accurate. Risk although inefficient will generally not be eliminated completely only minimized.” When people experience risk, they often times experience higher levels of stress in their lives. The greater the stress the less efficient someone is. As the article suggests it is important to gather as much information as possible. Perhaps one of the most helpful pieces of advice is to create a pan of action.

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