What is the formula for risk?
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Studied at Harvard University, Lives in Cambridge, MA
The risk equation I use is quite simple: risk equals impact multiplied by probability weighed against the cost: Risk=Impact X Probability / Cost. Impact is the effect on the organization should a risk event occur. Probability is the likelihood the event could occur within a given timeframe.
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Emma Johnson
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The risk equation I use is quite simple: risk equals impact multiplied by probability weighed against the cost: Risk=Impact X Probability / Cost. Impact is the effect on the organization should a risk event occur. Probability is the likelihood the event could occur within a given timeframe.