How do you use risk escalation as a learning and improvement opportunity for your team and organization?

1 Define escalation levels and triggers

The first step to use risk escalation effectively is to define the escalation levels and triggers for your project or organization. Escalation levels are the categories of risk severity or impact that determine who needs to be informed and involved in the risk response. Escalation triggers are the specific criteria or indicators that signal when a risk has reached a certain level and requires escalation. For example, you may have four escalation levels: low, medium, high, and critical, and corresponding triggers such as cost overrun, schedule delay, quality issue, or safety breach. Defining escalation levels and triggers helps you to establish clear and consistent expectations, roles, and responsibilities for risk management.

2 Communicate escalation process and expectations

The next step is to communicate the escalation process and expectations to your team and stakeholders. This means explaining how, when, and to whom to escalate risks, and what information and actions are required at each level. You should also clarify the purpose and benefits of risk escalation, and address any potential barriers or challenges, such as fear of blame, lack of trust, or conflicting priorities. Communicating escalation process and expectations helps you to foster a culture of transparency, accountability, and collaboration for risk management.

3 Escalate risks promptly and constructively

The third step is to escalate risks promptly and constructively when they meet the triggers. This means reporting the risk situation, impact, and response plan to the relevant level of authority or stakeholder, and seeking their input, support, or approval. You should also provide evidence, analysis, and recommendations to justify your escalation and proposed actions. Escalating risks promptly and constructively helps you to avoid or minimize the negative consequences of the risk, and to leverage the expertise, resources, or influence of higher levels or other stakeholders.

4 Follow up and close escalated risks

The fourth step is to follow up and close escalated risks once they are resolved or no longer relevant. This means updating the status, outcome, and lessons learned of the escalated risk to the level or stakeholder that was involved, and documenting the results and actions taken. You should also acknowledge and appreciate the contribution and feedback of those who helped you to manage the escalated risk. Following up and closing escalated risks helps you to demonstrate your accountability and performance, and to maintain good relationships and trust with your team and stakeholders.

5 Review and improve escalation process and practices

The fifth step is to review and improve your escalation process and practices on a regular basis. This means collecting and analyzing data, feedback, and lessons learned from your escalated risks, and identifying the strengths, weaknesses, opportunities, and threats of your escalation process and practices. You should also involve your team and stakeholders in the review and improvement process, and solicit their suggestions and ideas for enhancement. Reviewing and improving your escalation process and practices helps you to align them with your changing needs, goals, and environment, and to foster a culture of continuous learning and improvement for risk management.

6 Share and learn from escalated risks

The sixth step is to share and learn from your escalated risks across your team and organization. This means communicating and disseminating the key insights, best practices, and lessons learned from your escalated risks to other projects, teams, or units that may face similar or related risks. You should also encourage and facilitate the exchange of knowledge, experience, and feedback among your team and organization on risk escalation and management. Sharing and learning from your escalated risks helps you to enhance your organizational risk awareness, capability, and maturity.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?