Risk II: Why you struggle to understand risk?

Hopefully, there are some people who have taken mild offense to the title of this post. Thinking, well I understand risk of course I do, I am a smart individual who takes control of my life, I understand risk.

Really, really, are you sure? So you’ve never done any of these things:

  • Got nervous when a plane you are in experiences turbulence.
  • Waited for water to warm up before washing your hands.
  • Rode a bicycle without a helmet, but you did wear gloves.

The point I am making is this, if you have done any of these three things you are struggling to manage risk. Most planes experience turbulence and the drive to the airport is statistically more dangerous than the plane journey. Warm water makes no difference to the germs left on your hands when you wash them – it’s the soap and the vigor with which you scrub (it takes water at 80 centigrade to start killing germs, this is way to hot for you – DO NOT TRY IT). And lastly riding a bicycle without a helmet but wearing gloves – hands might be saved from a nasty scrape but your head is a whole lot more fragile.

You struggle because it is personal. Risk to you, yourself, people or things you care about is hard to judge. It’s tough to be objective.

That is why I join others in pressing for a process for risk management. See Risk I for the start of that process. Objective classification of risk following some guidelines is essential.

So hopefully you are prepared to acknowledge your failings as a risk manager and in the next post on the subject I will explore ways to build up your risk management skills and explore your appetite for danger.