Cisco CloudCenter: Get the Hybrid IT Advantage

Risk Analysis

Definition - What does Risk Analysis mean?

Risk analysis is the review of the risks associated with a particular event or action. It is applied to projects, information technology, security issues and any action where risks may be analyzed on a quantitative and qualitative basis. Risk analysis is a component of risk management.

Risks are part of every IT project and business endeavor. As such, risk analysis should occur on a recurring basis and be updated to accommodate new potential threats. Strategic risk analysis minimizes future risk probability and damage.

Techopedia explains Risk Analysis

The risk management process involves a few key steps. First, potential threats are identified. For example, risks are associated with individuals using a computer either incorrectly or inappropriately, which creates security risks. Risks are also related to projects that are not completed in a timely manner, resulting in significant costs.

Next, quantitative and/or qualitative risk analysis is applied to study identified risks. Quantitative risk analysis measures expected risk probability to forecast estimated financial losses from potential risks. Qualitative risk analysis does not use numbers but reviews threats, and determines and establishes risk mitigation methods and solutions.

A contingency plan may be used during risk analysis. If a risk is presented, contingency plans help minimize damage.

Share this:

Connect with us

Email Newsletter

Join thousands of others with our weekly newsletter

The 4th Era of IT Infrastructure: Superconverged Systems
The 4th Era of IT Infrastructure: Superconverged Systems:
Learn the benefits and limitations of the 3 generations of IT infrastructure – siloed, converged and hyperconverged – and discover how the 4th...
Approaches and Benefits of Network Virtualization
Approaches and Benefits of Network Virtualization:
Businesses today aspire to achieve a software-defined datacenter (SDDC) to enhance business agility and reduce operational complexity. However, the...
Free E-Book: Public Cloud Guide
Free E-Book: Public Cloud Guide:
This white paper is for leaders of Operations, Engineering, or Infrastructure teams who are creating or executing an IT roadmap.
Free Tool: Virtual Health Monitor
Free Tool: Virtual Health Monitor:
Virtual Health Monitor is a free virtualization monitoring and reporting tool for VMware, Hyper-V, RHEV, and XenServer environments.
Free 30 Day Trial – Turbonomic
Free 30 Day Trial – Turbonomic:
Turbonomic delivers an autonomic platform where virtual and cloud environments self-manage in real-time to assure application performance.