RISK MATRIX
What Is a Risk Assessment Matrix?
Safety Professionals use a risk matrix to assess the various risks of hazards (and the incidents they could
potentially result in). Understanding the components of a risk matrix will allow you and your organization to
manage hazards more effectively by uncovering “hidden risks” embedded in day-to-day tasks, reduce costly
workplace illnesses and injuries by dealing with hazards before they can develop into bigger issues, and
increase productivity through proactive prevention of incidents that can grind operations to a halt and result
in lost time.
Components of a Risk Matrix
The risk assessment matrix works by presenting various risks in a color-coded chart with high risks
represented in red, moderate risks in orange or yellow, and low risks in green. Risk matrices can come in
many shapes and sizes, but every matrix has two axes: one that measures the likelihood of a risk, and
another that measures its severity. In other words, the impact the risk would have on operations.
Using a risk matrix allows you to identify and focus your attention and resources on the highest risks, since
these have the biggest impact and can result in significant losses.
1. Severity
The severity scale is used to determine the potential consequences of the risk. Consequences will vary
depending upon the risk itself as well as the individual who is being evaluated and will range from negligible
to catastrophic. The severity level increases as the potential ramifications intensify.
Severity is first axis of a risk assessment and it measures the amount of damage or harm a hazard could
create.
Negligible: Illness or injury that doesn’t require medical attention. No adverse effect on environment
and regulator notification not required.
Minor: Minor illness or injury requiring medical treatment (eg first aid) and/or minor effect on
environment that can be cleaned up. Regulator notification unlikely to be required.
Moderate: Injury requiring admission to hospital and/or effect on environment that may take 1-2
months to restore. Regulator notification mandatory.
Major: Life threatening injury or multiple injuries requiring admission to hospital and/or significant
effect on environment that may take up to a year to restore. Regulator notification mandatory.
Catastrophic: Death and/or catastrophic effect on environment that may take longer than a year to
restore. Regulator notification mandatory.
LEVEL SEVERITY DESCRIPTION
Operating conditions are such that personnel error, environment, design
1 NEGLIGIBLE deficiencies, subsystem or component failure, or procedural deficiencies
will result in no, or less than minor, illness, injury, or system damage
Minor illness or injury requiring medical treatment (eg first aid) and/or
2 MINOR minor effect on environment that can be cleaned up. Regulator notification
not required.
Injury requiring admission to hospital and/or effect on environment that
3 MODERATE
may take 1-2 months to restore. Regulator notification mandatory
Life threatening injury or multiple injuries requiring admission to hospital
4 MAJOR and/or significant effect on environment that may take up to a year to
restore. Regulator notification mandatory.
Death and/or catastrophic effect on environment that may take longer than
5 CATASTROPHIC
a year to restore. Regulator notification mandatory.
2. Likelihood Scale
The second scale in the risk matrix is the likelihood scale. The risk assessor will assign a level of
probability to the potential risk occurring based on the level descriptions. The likelihood level increases
as the probability of occurrence increases.
Likelihood is the second axis of a matrix and it measures the probability of the hazard occurring. Probability
is often tanked on a five-point scale:
Almost Certain (5) -Expected to occur 95% probability
Probable (4) - Likely to occur 75% probability
Possible (3) - Not certain to happen but additional factors may result in an incident 50% probability
Unlikely (2) - A rare combination of factors would be required for an incident to result 10% probability
Rare (1) - Little or no chance of occurrence less than 5% probability
LEVEL LIKELIHOOD DESCRIPTION
5 ALMOST CERTAIN Expected to occur 95% probability
4 PROBABLE Likely to occur 75% probability
Not certain to happen but additional factors may result in an incident
3 POSSIBLE
50% probability
A rare combination of factors would be required for an incident to
2 UNLIKELY
result 10% probability
1 RARE Little or no chance of occurrence less than 5% probability
How is Risk Calculated?
To use the Risk Matrix, the risk assesor begins by assigning one severity and one likelihood rating to each
potential risk.
The Raw Riks Rating is calculated by multiplying the Severity Level with the Likelihood Level.
The Residual Risk Rating is the rating after control meaures have been put in place to mitigate the raw risk.
LIKELIHOOD OF OCCURANCE
ALMOST
RARE UNKIKELY POSSIBLE PROBABLE
CERTAIN
SEVERITY OF CONSEQUENCE
NEGLIGIBLE 1 2 3 4 5
MINOR 2 4 6 8 10
MODERATE 3 6 9 12 15
MAJOR 4 8 12 16 20
CATASTROPHIC 5 10 15 20 25
Below is a description of the different risk levels and a brief guide of what actions must be taken when a
certain risk rating is attained in the risk assessment.
RISK SCORE RISK RATING DESCRIPTION
The process, task or activity in question must not occur or must cease
until actions are taken to eliminate the hazard or minimise the risk.
20-25 Very High Risk
Review of effectiveness of new or additional controls before process,
task or activity can commence or recommence.
Actions are to be taken to eliminate the hazard or minimise the risk.
15-16 High Risk Specific consideration of control effectiveness and new or additional
control options to be considered
Actions are to be taken to eliminate the hazard or minimise the risk.
10-12 Substantial Risk Periodic consideration of control effectiveness and new or additional
control options to be considered
Actions are to be taken to eliminate the hazard or minimise the risk.
4-9 Moderate Risk Periodic consideration of control effectiveness and new or additional
control options to be considered.
The process or activity in question continues with existing controls.
Ongoing monitoring of existing control effectiveness
1-4 Low Risk
Continue to reduce the risk by adopting any improvements in safety
the business becomes aware of.
