What are the Key Components of a Risk Assessment Matrix?
A risk assessment matrix typically includes: - Risk Categories: Grouping risks into categories (e.g., financial, operational, strategic) helps in systematic analysis and management. - Probability Scale: A numerical scale to measure the likelihood of each risk occurring. - Impact Scale: A numerical scale to assess the potential consequences of each risk. - Risk Ratings: A combined score derived from the probability and impact scales, used to rank risks. - Action Plans: Specific strategies and actions to mitigate identified risks.