2 Definitions, standards and books

 

2.1 Definitions

Definitions, abreviations, terminology

2.2

The beginning of wisdom is the definition of terms. Socrates

A risk can have negative impacts (we speak of threats) or positive impacts (we speak of opportunities).

Seizing an opportunity is taking risks, but not seizing an opportunity can expose us to risk.

There are multiple definitions of the word risk. Some examples:

Our preference:

Risk: likelihood of occurrence of a threat or opportunity

Identifying hazards means asking yourself what could go wrong

Often risk is equated with danger and commonly used instead of threat.

Uncertainty and probability are subjective notions with fictitious quantities.

Probability can be considered as a measure of uncertainty. If probability can be measured it is therefore linked to something that has happened. Likelihood is a more general notion because it can include an effect that never happened.

Some definitions and abbreviations:

Activity: set of tasks to obtain a deliverable
BCP: business continuity plan
Benchmarking: comparative analysis method in connection with one or more competitors Business impact analysis (BIA): analysis of the impact of a disruption on the business
Brainstorming: method allowing the development of ideas from the participants in order to find solutions 
Business continuity management system (BCMS): set of processes enabling business continuity objectives to be achieved
Business continuity management: method aimed at ensuring that in the event of a crisis, critical functions remain operational or become operational again as quickly as possible (see also resilience)
Business continuity manager: leader to the resilience journey
Business continuity: ability of a company to continue delivering products and providing services during and after a disruption
Conformity: fulfillment of a specified requirement 
Corrective action: action to eliminate the causes of nonconformity or any other undesirable event  and to prevent their recurrence 
Customer: anyone who receives a product
Disruption: incident which results in deviation from the delivery of products and the provision of services
Effectiveness: capacity to realize planned activities with minimum effort
Efficiency: financial relationship between achieved results and used resources
Fail safe device: system allowing the prevention of errors by eliminating the human factor 
FMEA: Failure Mode and Effects Analysis
Hazard: situation that could lead to an incident 
Impact: consequence of an event affecting the objectives
Kaizen: from Japanese kai - change, zen - better. Continual improvement step by step to create more value and less waste. Approach based on common sense and staff awareness
Likelihood: possibility that something happens
Management system (MS): set of processes allowing objectives to be achieved
Monitoring: pack of planned actions to guarantee the effectiveness of the critical control points
MTPD: maximum tolerable period of disruption
Non-quality: gap between expected quality and perceived quality
Opportunity: uncertain event that could have a favorable impact
Requirement: explicit or implicit need or expectation 
Resilience: ability to resolve a crisis and continue to function as before
Responsibility: capacity to make a decision alone
Risk analysis: methodical analysis of the existence of a hazard to understand its nature and to facilitate the adoption of control measures
Risk assessment: risk identification, analysis and evaluation process 
Risk criteria: indices to assess the importance of the risk
Risk estimation: activities to assign values to the likelihood and impact of risk
Risk evaluation: risk assessment activities to determine whether the risk is acceptable
Risk factor (peril, danger): element likely to cause a risk
Risk identification: risk assessment activity to find and describe risks
Risk level: criticality of the risk according to the impact and likelihood
Risk management plan: risk management planning including approach, steps, methods, resources
Risk management system: set of processes allowing the achievement of the risk objectives 
Risk management: activities to restrict the possibility that something goes wrong
Risk measurement: set of possibilities with quantified probabilities and losses
Risk owner: person with responsibility and authority to manage risk
Risk prevention: activities based on decreasing risk likelihood of occurrence
Risk protection: activities based on reducing risk impacts
Risk register: folder containing information relating to identified risks
Risk severity: measuring the impact of the risk
Risk threshold: acceptance (below) or non-tolerance (above) limit
Risk treatment: risk reduction activities 
Security: ability to avoid an unwanted event
Strategy: total approach to achieve objectives 
SWOT: Strengths, Weaknesses, Opportunities, Threats. Tool for structuring a risk analysis
System: set of interacting processes 
Threat: uncertain event that could have a negative impact on the objectives
Uncertainty: existence of more than one possibility
Waste: anything that adds cost but no value

In the terminology of management systems do not confuse:

prevention 
Figure 2-1 Prevention and protection

Remark 1: between stakeholders and interested parties our preference is for stakeholders

Remark 2: between impact, gravity, consequence and severity our preference is for impact

Remark 3: between likelihood and probability our preference is for likelihood (of occurrence)

Remark 4: each time you use the expression "opportunity for improvement" instead of nonconformity, malfunction or failure, you will gain a little more trust from your interlocutor (external or internal customer)

For other definitions, comments, explanations and interpretations that you cannot find in this module and annex 06, you can consult: explications 

Remark 1: between stakeholders and interested parties our preference is for stakeholders

Remark 2: between impact, gravity, consequence and severity our preference is for impact

Remark 3: between likelihood and probability our preference is for likelihood (of occurrence)

Remark 4: each time you use the expression "opportunity for improvement" instead of nonconformity, malfunction or failure, you will gain a little more trust from your interlocutor (external or internal customer)

The icons used in the module:

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2.2 Standards

Standards, history

 2.1

There can be no improvements where there are no standards. Masaaki Imai

Standards and specifications related to risks and business continuity (in chronological order): 

None of these standards are obligatory but as Deming said:

There is no need to change. Survival is not mandatory

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2.3 Books

Books related to risk and continuity management 2.3

explicationsTo go further, some books, classified in chronological order:

smileyMinute of relaxation. Game: Procedure

When I think of all the books still left for me to read, I am certain of further happiness. Jules Renard

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