Definition
Risk is the possibility that an event or circumstance may affect the achievement of an intended Objective through adverse or beneficial consequences.
Human Explanation
Risk describes uncertainty about future events and their possible effect on a Decision, project, system or organisation.
Why it Matters
Every Decision involves some level of Risk. Assessing it consciously helps an organisation prepare for possible consequences and select proportionate action.
Conceptual Boundary
Risk is not only a Threat. It concerns uncertainty and its effect on Objectives. In security contexts the focus is usually adverse impact; in broader decision contexts uncertainty may also create beneficial outcomes.
Practical Perspective
Risk management means identifying, evaluating and consciously considering Risk during Decision-making, not attempting to eliminate all uncertainty.