Essential Processes in Risk Assessment Methodology

General purpose of this article is to discuss essential processes in Risk Assessment methodology Risk assessment could be the determination of quantitative as well as qualitative value of risk related to a concrete situation and a recognized threat (also known as hazard). Quantitative risk assessment requires calculations of two the different parts of risk (R):, the magnitude from the potential loss (L), and the probability (p) the loss will arise. The risk assessment process is usually a scheme that assures the business that they may handle the dangers that might arise in this company. There are some that are caused by people, by natural elements and there are risks that are set up by machines.