chapter  24
10 Pages

Risk Management

WithW. David Yates

Risk management can be defined as the identification, assessment, and prioritization of risks followed by coordinated and economical application of resources to minimize, monitor, and control the probability and impact of unfortunate events or to maximize the realization of opportunities. This chapter discusses the five basic steps of risk management. They are hazard identification, hazard assessment, development of controls and decision making, implementation, and supervision and evaluation. A hazard is an actual or potential condition, situation, or event that can result in injury, illness, or death of personnel. Hazards are identified through experience, historical data, intuitive analysis, judgement, standards, brainstorming, and a large variety of other means and methods. Severity is expressed in terms of the degree to which an incident will affect the safety and health of employees or the project being performed. Methods to supervise and evaluate the effectiveness of control measures include spot checks, inspections, daily reports, and close, direct supervision.