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Categorizing Risks for Risk Ranking
Author(s) -
Morgan M. Granger,
Florig H. Keith,
DeKay Michael L.,
Fischbeck Paul
Publication year - 2000
Publication title -
risk analysis
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.972
H-Index - 130
eISSN - 1539-6924
pISSN - 0272-4332
DOI - 10.1111/0272-4332.00005
Subject(s) - ranking (information retrieval) , categorization , risk analysis (engineering) , risk management , risk assessment , process (computing) , actuarial science , value (mathematics) , computer science , management science , business , engineering , machine learning , artificial intelligence , computer security , finance , operating system
Any practical process of risk ranking must group hazards into a manageable number of categories. Defining such categories requires value choices that can have important implications for the rankings that result. Most risk‐management organizations will find it useful to begin defining categories in terms of environmental loadings or initiating events. However, the resulting categories typically need to be modified in light of other considerations. Risk‐ranking projects can benefit from considering several alternative categorization strategies and drawing upon elements of each in developing their final categorization of risks. In principle, conducting multiple ranking exercises by using different categorizations could be interesting and useful. In practice, agencies are unlikely to have either the resources or patience to do this, but other groups in society might. Done well, such additional independent rankings could add valuable inputs to democratic risk‐management decision making.