Question
When should a risk be
avoided?Solution
Risk mitigation: Once the risks have been identified and assessed, the possible ways to manage the risk may fall into one of the following major actions: a)Â Â Â Avoid (eliminate, withdraw from, or not become involved) b)Â Â Â Reduce (optimise-mitigate) c)Â Â Â Share (diversify-transfer-outsource or insure) d)Â Â Â Retain (accept and contain) Â When the risk event is unacceptable-generally one with a very high probability of occurrence and high impact, the risk mitigation strategy can be to avoid.
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