Risk Assessment - Internal & External Issue

Department :

Date of
Next Date of
(After Six

Context of Organization Risk Assessment

Sr. Internal/ Issue Nature Requirement of Interested Needs / Risk / Severity Probability Risk Rating Decision on Action Plan
Issue Description of Issue Interested Party Effect Of Risk / Opportunity Causes Existing Control
No. External (+ Ve / -Ve) party Expectation Opportunity (S) (P) (S x P) Risk (Must when risk rating is ≥ 4)

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 Risk Assessment - Internal & External Issue

Department :

Date of
Next Date of
(After Six

Context of Organization Risk Assessment

Sr. Internal/ Issue Nature Requirement of Interested Needs / Risk / Severity Probability Risk Rating Decision on Action Plan
Issue Description of Issue Interested Party Effect Of Risk / Opportunity Causes Existing Control
No. External (+ Ve / -Ve) party Expectation Opportunity (S) (P) (S x P) Risk (Must when risk rating is ≥ 4)

Risk Level

1,2 and 3, 4,6 Minor Risk Mitigation Team

8&9 Moderate

12 & 16 High

Un

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t - Internal & External Issue

Date of Review:
Next Date of review :
(After Six months)

Risk Assessment Classification Cross Reference

Frequency / Control Procedure /

Responsibility Status of Actions
Target date WI No. / Description

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t - Internal & External Issue

Date of Review:
Next Date of review :
(After Six months)

Risk Assessment Classification Cross Reference

Frequency / Control Procedure /

Responsibility Status of Actions
Target date WI No. / Description

Unit Head

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A) Severity Rating
Insignificant Minor Moderate Major / Severe
Factors / Rating
1 2 3 4

Impact less than 0.1 % of Impact between 0.1 % to 0.5% Impact between 0.5 % to 5% of
Financial Impact > 5 % of annual turnover
annual turnover of annual turnover annual turnover

No Impact on market share Small impact on market share Potential impact on market Serious loss of market share
Reputation
and company reputation and company reputation share an company reputation and reputation

Huge impact on customer

No impact on customer Minor impact on customer Negative impact on customer
Customer satisfaction and chances to loss
satisfaction satisfaction satisfaction
of business

Moderate legal / statutory and Critical legal / statutory and

Minor problems against legal / regulatory issues. regulatory issues.
Statutory and No legal / Statutory and
statutory and regulatory
Regulatory regulatory Impact
compliance Can lead to notice / penalty by
Can lead to loss of license
government.

Partial compliance of “Shall” No compliance to “Shall”

Minor problem of system requirements. requirements at all. Complete
adherence. Chances of increased trend of system failure.
QMS No Impact on QMS IQA NC.
Non-conformity in IQA audits. Chances of Minor NC in Customer Dissatisfaction
customer / IATF 16949 audit Major NC in IATF 16949 audit
and suspension of certification.

Major Safety / health issue, loss

Safety / health issue, can
Minor Safety / health Issue of organ or man hour loss due
Human No impact on safety and impact on Human
can be solved by First Aid in to health
Safety and Health health Safety and Health.
the plant. Can create dissatisfaction
among workers

B) Probability Rating
Rating Occurrence
1 Rarely / Remote Once in 2 to 3 years or more.

Expected to occur up to 5
2 Some Times / Unlikely
times in a year.
Expected to occur up to 5 - 10
3 Few /Moderate
times in a year.

Expected to occur frequently >

4 Often / Almost Certain
10 times in a year.
C) Risk Evaliuation D) Risk Treatment

Risk Rating Risk Level Action Plan

1, 2 and 3,4 and 6 Minor No action required

1)   Action plan required.

8&9 Moderate
2)   Required to establish controls for
monitoring and measurement.

1) Action Plan required

12 & 16 High 2) Required to establish controls for monitoring

and measurement.

3) Contingency plan / Emergency

preparedness required.
 4 8 12 16

Probability Rating
3 6 9 12

2 4 6 8

1 2 3 4

Severity Rating