The Need for Risk Benefit Analysis

Abstract

“Risk can be managed, minimised, shared, transferred or accepted. It cannot be ignored”. (Sir Michael Latham). The process of risk based decision making is a logical process which is challenged through the not so logical behaviour of people. Technical analysis is often controversial with poor confidence limits on data. However, assuming good quality quantitative data is used then formal analysis aids the logical decision making process. Sight must not be lost, though, of the public values and how that assessment is input to the process, without which acceptance criteria cannot be defined and therefore achieved.