Risk based on Internal and External Influences

By Ts. Ling, Thomas Kiong, MIEAust., PMP, MMIM.

Risk identification is the first step outlined in ISO31000:2018 in risk assessment processes (ISO, 2018). The step is immediately following the creation of the scope and context of the organisational risk management procedure. The risk identification process focuses on identifying all uncertainties that might affect the organisation, both positively and negatively. The identification process and its documentation will need to include the source of the risk itself, the quantum of the risk, and the likelihood of it happening. The process measures how much the organisation will be financially impacted or its change in reputation status. This will then further use to conduct analysis and evaluation down the funnel of the risk assessment process.