Worrying About Risk Management

I was recently asked for my thoughts on the relationship between “worrying” and risk management. I thought I’d share my response in this blog.

“Worry” is an emotional state, evoked in response to some condition we have, or might encounter. Our brains are wired for worrying, it’s a species survival skill. The motivation for our worries can be real or imagined, a present reality, or a future possibility, and they can be productive or very distracting and unproductive.

In risk management, we want to leverage productive “worrying” to make us more aware, vigilant and ready for action, but then govern that condition with rational thinking, logic, process and tools to make sound response decisions.

All too often I’ve seen risk statements that offer a vague description of a “worry,” that fails to focus on the specific condition that’s creating the threat. As you know if you’ve read my other blogs, I believe risk management must be treated as a knowledge management activity. Risk is what we don’t know, and what’s uncertain about, or might change, in what we do know, that could bring on harmful consequences. A risk statement then must rationally and objectively identify the lack of, uncertainty about, or instability in, the knowledge required to perform some activity and the potentially harmful effects. A clear risk statement then sets the stage for the subsequent analysis, which estimates the likelihood, consequence and detectability of the condition, which in turn enables informed decisions on, and implementation of, response actions.

In closing, I think it’s important to add that I believe this same kind of thinking is applicable to managing the “euphoria” associated with positive risks, or “opportunities.” This approach will enable better exploitation planning and implementation decisions for those situations as well.

Advertisements

About donmcalister

I retired at the end of 2011, after a 39 year career in the Aerospace industry as an Propulsion Engineer, Engineering Manager and Program Manager. My professional interests and expertise are in the areas of Program, Risk and Knowledge Management. I'm passionate about life-long learning in a wide variety of topics and I'm committed to sharing my knowledge and ideas with those who are interested. I'm an Aerospace Industry Consultant. I serve my community as an a Rotarian. My hobby is entertaining as a jazz keyboard player, and vocalist.
This entry was posted in Program & Knowledge Management and tagged , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s