Risk-Based Approach

A Risk-Based Approach involves prioritizing resources and efforts based on the level of risk associated with different activities or situations. Instead of treating all risks equally, it identifies which risks are significant and requires more attention. For example, in safety management, this means focusing on areas where accidents are most likely to occur or where the impacts would be most severe. By evaluating and addressing the most critical risks, organizations can allocate their time, money, and efforts more effectively, ultimately enhancing safety and efficiency. This approach is common in fields like finance, health care, and security.