Risk management is the identification and quantification of risks (e.g. within a project) and the establishment of management measures to mitigate these risks. With these management measures
activities are designed to reduce the probability of occurrence or consequences of risks are affected.
Risk is often as, "defined":
Risk = probability x consequence
A risk is higher if the probability of occurrence and consequences of action are greater. A great result combined with a minimal risk is generally regarded as not important, just as a great opportunity with a minimal effect. Depending on the opportunity and the result is a risk of four ways:
1. Occurrence: one or both of the risk factors and effect removal;
2. Reduce: one or both of the risk factors and effect weaken;
3. Outsourcing: risks among insurers in the market;
4. Accept: only at very low probability and / or very small effects.