Risk -

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Risk -
A difficulty with much of the literature stems
from the impression that risk management is a
self-contained entity, in reality, it is an
integral part of managers day-to-day
activity. Dowlen, 1995

• Sharon Currie
• HWL OHS Adviser

Illustration of Shewart Cycle or Deming Wheel
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Risk Management Process

• Identification
• What are the risks?
• Assessment
• Likelihood/severity?
• Control
• Measures to reduce impact?
• Monitoring
• Effectiveness of controls?
• Emerging risks?

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Sources of Risk
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Risk in Procurement Process

• Strategic
• Commercial
• Financial
• Environmental
• Reputational
• Quality
• Cultural
• Acquisition

• Organisational
• Projects
• Procurement
• Acquisition
• Funding
• Security
• Health and Safety
• Failure

• Technical
• Cost
• Schedule
• Resource
• Provider Failure
• Operational support
• Quality
• Environmental Infrastructure

• Personal
• Technical
• Cost
• Schedule
• Resource
• Operational Support
• Quality
• Provider Failure

SG Procurement Process Risk Management
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Risk Rating
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Likelihood
5 Very likely 4 Likely 3 Fairly likely 2
Unlikely 1 Very Unlikely
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Consequence
5 Catastrophic 4 Major 3 Moderate 2
Minor 1 Insignificant
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17-25 Unacceptable
17 -
10-16 Tolerable
5-9 Adequate
1-4 Acceptable
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Strategies

• Risk
• Avoidance
• Reduction
• Transfer (Sharing)
• Retention

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Avoidance
Reduction
Tolerate
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Simple Risk Register
Item No Description Risk or opportunity Likelihood Severity Risk Level Action Action by Status
1 Professional Inability to deliver service Absence/ Turnover Failure to recruit skilled personnel 5 3 15 Contingency Planning Multi skilling Succession planning Trainee programme
2 Technical Information Security Loss of equipment Hacking Loss of key systems IT failure /Website 3 3 9 Protocols Policies IT Security Back up systems Protocols
3 Legal 5 5 25
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Health Risks in construction
Excessive pressure of work Excessive noise
Stress Hearing loss
Occupational Asthma Chronic Obstructed Pulmonary
Disease Silicosis Dermatitis
Hazardous substances Asbestos fibre
Wood dust Respirable
Crystalline Silica Portland cement
Hand-arm vibration Whole-body vibration
Excessive vibration from handheld tools and
equipment
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Resourceshttp//www.scotland.gov.uk/Topics/Gove
rnment/Procurement/buyer-information/spdlowlevel/r
iskhttp//healthyworkinglives.com