Significant-risk

A significant-risk is a potential hazard or danger that has the capacity to cause substantial harm, loss, or adverse consequences, particularly in fields such as finance, healthcare, or safety. It is typically assessed in terms of probability and impact, leading to informed decision-making and risk management strategies aimed at minimizing exposure to such risks.

Significant-risk meaning with examples

• In the financial sector, investing in startups can carry a significant-risk due to their unproven models and potential for failure, prompting investors to conduct thorough research before committing funds.
• Healthcare providers often face significant-risk when administering experimental treatments to patients, necessitating rigorous ethical standards and informed consent procedures to ensure patient safety and well-being.
• During the project planning phase, the team identified a significant-risk associated with supply chain disruptions that could delay product delivery, leading them to implement contingency plans to mitigate this issue.
• The environmental report highlighted significant-risk factors related to climate change, emphasizing the need for immediate action to address rising sea levels and extreme weather events that threaten coastal communities.
• Organizations must evaluate their cybersecurity measures to identify significant-risk vulnerabilities, as breaches can lead to substantial financial losses and erosion of customer trust.