ABSTRACT
Management address probabilistic threats (e.g., natural
disasters, human errors, accidents, technology failures,
etc.), but fails to take into account speculative risks (e.g.,
legal or regulatory changes, economic change, social
change, political change, technological change, or manage-
ment and organizational strategies). In contrast, Risk-Based
Management is a methodology that involves the frequent
assessment of events (both probabilistic and speculative)
affecting an environment.
