To ensure that the Risk Identification Stage is effective, there are a number of factors that should be taken into account during this process.

Look at everything!

In Risk Identification the main aim is to identify as many risks to the organisation as possible. It is not just internal factors that can produce uncertainties but we should consider how issues outside of the businesses control pose a similar amount of risk that needs to be addressed. An organisations success is increasingly dependent on their external environment hence risk management strategies should take these factors into account in the risk identification stage.

Risk Identification does not focus only on finding those issues that present high risk to a company. Its aim is to identify and list as many risks as possible regardless of their minority. If we aim to list as many risks as possible down on the risk register, there is always the chance to ignore them at a later date if they are not a major factor. You never know something that may seem so minor it’s not worth jotting down, may actually prove to be a much bigger issue upon further analysis.

Follow a systematic approach

Risk identification is more successful if there is a structure as to which business activity to focus on. By conducting risk management through a structured approach, more ideas will be exhausted on one focused area of business activity, rather than spread from idea to idea over a range of activities. A systematic approach removes the potential for leaving risks unidentified.

Gather as many views as available

It has always been said that two heads are better than one; this case doesn’t differ when it comes to risk identification. A potential risk that may be missed by one individual could be blatantly obvious for another which is why it is recommended that as many people as possible are involved in the risk identification process. This does not mean that every member of staff has to be drawn away from their work to detect risks; it could simply take a 10 minute interview to gather a different opinion.

The use of these factors along with the Risk Identification techniques can help to maximise the amount of uncertainties identified.