Why does the RM practitioner assess hazards identified in Step 1?

Assessing hazards identified in Step 1 is crucial for determining the level of risk associated with those hazards. This step involves evaluating the potential impact and likelihood of adverse outcomes resulting from the identified hazards. By understanding the level of risk, a risk management practitioner can prioritize actions based on severity and likelihood, ensuring that resources are allocated effectively to manage the most critical risks first. This assessment forms the foundation for developing strategies to mitigate or eliminate risks, which is essential for maintaining a safe environment and promoting overall organizational resilience.

In this context, while reducing liabilities, implementing corrective actions, and compiling reports are relevant activities within risk management, they depend on a clear understanding of the risks at hand. The assessment of hazards lays the groundwork for all subsequent risk management activities, ensuring informed decision-making and proactive risk mitigation.