Risks never sleep – Be a Risk Keeper

Nothing is too low for a bear

A bear doesn’t probably like to chase and hunt their prey. they’re keen on any kinds of flesh and simply pick you once you are asleep. Bears are often predators albeit they don’t have many enemies. Although most don’t , under normal circumstances, hunt and prey on humans. But you can’t stay asleep ignoring the severity of the bear attack. this is often probably another representation of why bear markets are extremely risky trades. Risk comes from not knowing what you‘re doing, says Warren Buffet. Risks are just like the air that’s around us. you’ll risk yourself by breathing polluted air. Risks never sleep. you would like to be a risk keeper and assess it.

Never ignore a slightest smell
Severity is that the feeling of the disaster and it needs a top quality decision which can take time to urge through the method . you would like to classify the severity properly else the result will create displeasure and inconvenience. we’ve to undertake best to avoid the teachings of ignoring the severity. Nokia, being risk-averse company ignored the severity of the smart-phones disturbing the market.

Ignorance is bliss
Probability are often an illusion to be ignored but it are often very devastating and tragic either to you or your company. If you see the danger which will likely to occur or less threatening without presenting the large loss, you’re in peril of facing the devastation. it’s going to be unlikely to be the victim of the bear attack but it’ll cost your life.

The Risk Class
Assessment of risks assesses the standard of thoughts of the people. It helps us to find out the way to behave differently towards different risks. Assessment of risk is formed by combining the severity of consequence with the likelihood of the occurrence. this mix is named the danger Priority Number (RPN).

Severity are often simply assessed into High Risk as 3, Medium Risk as 2 and Low Risk as 1. Probability are often assessed into 100% certain as 4, above 50% probable as 3, between 25-50% likely as 2 and below 25% unlikely but notable as 1.

The risk are often clearly assessed with the concept of bear attack.

You try handy over a fish on the brink of the bear; there are often a particular probability of direct attack and high severity of an injury. The severity is certainly high and may be rated as 3. Since the probability of the severity is certainly certain, it are often assessed as 4. the danger priority number (RPN) / Risk Class are often clearly calculated as 12.

You can see other samples of assessing and reducing the impact of the danger . The severity of injury and loss varies on completely different occasions and possibilities.