Every business needs to risk rank its businesses down to each process within each facility. This “risk profiling” keeps safety matters and risks in perspective when you’re trying to manage a global operation. This risk profiling MUST use accurate and verified data. Lagging indicators can play a role, but they do not fully indicate risks.
Every organization will have its own risk profile. This is the starting point for determining the most significant safety issues for the organization. In some businesses, the risks will be tangible and immediate safety hazards. In contrast, in other organizations, the risks may be health-related, and it may be long before the illness becomes apparent.
A risk profile examines:
- the nature and level of the threats faced by an organization;
- the likelihood of adverse effects occurring;
- the level of disruption and costs associated with each type of risk;
- the effectiveness of controls in place to manage those risks.
The outcome of risk profiling will be that the suitable risks have been identified and prioritized for action, and minor risks will not have been given too much priority. It also informs decisions about what risk control measures are needed.
