Risk matrices are a key component of organisational risk management systems, providing a structured way to visualise and prioritise risks. As a foundational tool in qualitative risk assessment, they help organisations across diverse industries evaluate and communicate risk by mapping the likelihood of events against their potential consequences. This enables the quick comparison of risk levels and identification of scenarios that require further consideration.
Even with the right structure, risk matrices can fall short in practice. Too often, organisations rely on generic or outdated matrices that:
- Overlook critical differences between risk types (e.g. safety vs environment)
- Are not calibrated correctly to properly evaluate the risk from various events
- Miscategorise rare but serious events
- Apply risk tolerability criteria that are too strict or too lenient, leading to unmanageable or under-managed events
- Fail to evolve with changing operations.
Making Risk Matrices Work for You, Not Against You
A risk matrix should do more than just tick a box – it should help make the risk assessment clear, practical, and useful, improving the consistency and quality of risk assessments. A well-designed risk matrix can also be a very helpful tool for decision-making, helping to prioritise actions and the subsequent allocation of resources.
Ready to Rethink Your Risk Matrix?
Our team has extensive experience designing, reviewing, and implementing risk matrices tailored to a wide range of industries and regulatory requirements. Contact us to discuss how we can support your risk management processes.
