How to use this Tool
This Business Risk Exposure Tool is intended for use as a step by step guide for developing a risk analysis for the busy asset management practitioner who is wanting to determine, then rank, the risk exposure his or her organization faces should a given asset or group of assets fail. It assumes that the practitioner is likely not a trained risk analyst and may be quite unfamiliar with risk analysis and risk management. Unfortunately, no tool can make risk analysis fool proof. While the Tool can facilitate a proper and rigorous application, every application will require careful and systematic application - and the application of good common sense at every step.
This Tool combines step by step process guidance with substantive content about each step in executing a risk analysis, assigning a risk score to an asset or a group of assets, and determining feasible risk mitigation strategies.
Steps and Tasks
The process of developing a systematic risk analysis is broken down into seven major steps in this Tool. These steps are presented on the left of the screen in a “navigation bar”.
- By clicking on the appropriate step in the navigation bar, a more detailed decision process flow is presented in the content portion of the Tool which is located to the right of the navigation bar.
- Here each of the seven steps is broken into a series of tasks, some of which may or may not be relevant to the specific analysis under consideration.
- The decision as to which technique to use and which to not use is reflected in a decision flowchart where yes/no decision points are shown as diamonds and action steps are boxes (see graphic below)
For those who are familiar with the content relevant to a particular step, the text associated with that step can be bypassed. For those unfamiliar, or simply a bit rusty, content associated with each step is available at the click of the mouse by clicking on the box representing a specific decision node. Text associated with a specific step/task is activated by simply left clicking with the mouse on the action box or decision diamond associated with that task.
To return to the step by step screen, simply click the word “back” at the bottom left portion of the relevant page.
The Business Risk Exposure Workbook
A key part of the Tool is the core Excel workbook embedded in Steps 1 through 6. The workbook can be accessed at anytime by simply clicking on the pink colored “predefined process” symbol in the process diagram (see graphic below).
Because no one risk workbook can begin to capture all of the elements that relate to the virtually infinite number of unique variations and possibilities that a case specific analysis could trigger, all worksheets included in the workbook are intended as starting points around which an analysis can be crafted. The worksheets in the workbook are not protected so that users may copy and modify as desired. It is rather unlikely that a thorough and carefully considered analysis for a given “real-world” project will take the exact form of the core worksheet contained in the workbook without modification of at least the “Risk Mitigation Factor” column found in the “BRE Worksheet”.
The workbook or the separate worksheets may be copied out of the tool and applied as relevant on its/their own merits.
As further assistance to the practitioner, two worked examples are available for review in the “Worked Examples” portion of the navigation bar.