The checklist of risk categories may help you to think about the full range of risks you face (e.g. reputational, financial).
| Category of risk | Relating to… | ||
|---|---|---|---|
| External | |||
| Infrastructure | Infrastructure such as transport systems for staff, power supply systems, suppliers, business relationships with partners, dependency on internet and email | ||
| Economic | Economic factors such as interest rates, exchange rates, inflation | ||
| Legal and regulatory | Laws and regulations which if complied with should reduce hazards (e.g. Health and Safety at Work Act) | ||
| Environmental | Issues such as fuel consumption, pollution | ||
| Political | Possible political constraints such as change of government | ||
| Market | Issues such as competition and supply of goods | ||
| Act of God / natural perils | Issues such as fire, flood, earthquake | ||
| Financial | |||
| Budgetary | Availability of resources or the allocation of resources | ||
| Fraud or theft | Unproductive loss of resources | ||
| Insurable | Potential areas of loss which can be insured against | ||
| Capital investment | Making appropriate investment decisions | ||
| Liability | Right to sue or to be sued in certain circumstances | ||
| Activity | |||
| Policy | Appropriateness and quality of policy decisions | ||
| Operational | Procedures employed to achieve particular objectives | ||
| Information | Adequacy of information used for decision making | ||
| Reputational | Public reputation of the organisation and consequent effects | ||
| Transferable | Risks which may be transferredTransfer of risks at inappropriate cost | ||
| Technological | Use of technology to achieve objectives | ||
| Project | Project planning and management procedures | ||
| Innovation | Exploitation of opportunities to make gains | ||
| Human Resources | |||
| Personnel | Availability and retention of suitable staff | ||
| Health and safety | Well-being of people | ||
| Source: HM Treasury (2001). The Orange Book. Management of risk – a strategic overview. HM Treasury, London. | |||
