ABSTRACT
A 'reasonable' person may define risk as a potential problem, a situation or perhaps an opportunity that will have a measured impact on a nominated outcome. Many project organisations place heavy and singular reliance on their standard operating procedures when it comes to managing their project risk. To be fair, many low-level risks are well suited to being managed under this operational framework, including authorised access, work, health and safety inductions, incident reporting, financial delegations, regulatory compliance and issue escalation pathways. In launching a new product, not only could the launch fail, but the reputation and profitability of the organisation could be seriously damaged. Equally, the new mining project may not produce the expected tonnage, or the construction of the new tunnel may fail to get the predicted traffic flow.
