Demystifying Risk: It's All About What Could Happen to Stop YOU!

Have you ever wondered what "risk" really means? It's a word we hear a lot, but it can sound confusing. Lets break it down risk into simple terms, with examples to help in understanding!

Risk: Not Just About Danger

The dictionary might define risk as the chance of something bad happening, like getting hurt. But that's just one side of the story! Risk is actually about uncertainty. It's about not knowing for sure what will happen next. This uncertainty can lead to both positive and negative outcomes.

Think of it this way:

• Crossing the Street: There's a chance a car might come speeding by (that's a risk!), so you wait for the light to turn green. But there's also a chance you'll see your friend waiting on the other side (yay!).
• Trying a New Restaurant: You might not know if you'll like the food, but you could discover your new favorite dish (risk can lead to reward!).
• Playing a Game: You might lose, but you might also have a blast (risk can be fun too!).

Risk in Everyday Life:

Risk is all around us! Here are some more examples:

• Riding your Bike: There's a chance you might get a flat tire (risk!), but you could also have a great adventure exploring your neighborhood (reward!).
• Baking Cookies: You might forget to set the timer and burn them (risk!), but you could also bake delicious cookies to share with friends (reward!).

Beyond the Obvious:

So far, we've talked about everyday risks. But risk also applies to bigger decisions.

• Starting a business: There's a chance you might not do well and may fail in your business (risk!), but you could also make a lot of money and learn valuable business lessons (reward!).
• Asking Someone Out: They might say no (risk!), but they might also say yes (reward!).

Different Types of Risk:

There are many ways to define risk, depending on the situation. Some experts say risk is a combination of how likely something is to happen and how bad it would be if it did.

Remember:

• Low Likelihood, Low Consequence: Forgetting to lock the door before heading out.
• High Likelihood, Low Consequence: Maybe you forget your gym bag sometimes (risky!), but it's not a huge deal.
• Low Likelihood, High Consequence: Winning the lottery is unlikely (low chance), but the reward would be huge!
• High Likelihood, High Consequence: When you are riding the bike for the first time, falling (High Chance)

Understanding Risk Helps Us Make Choices:

By thinking about potential risks and rewards, we can make better decisions. Should you try that new recipe (risk!), or stick with your usual safe choice?

The Key Takeaway:

Risk isn't just about bad things happening. It's about uncertainty and possibility. By understanding risk, we can approach life with more confidence and make choices that lead to great outcomes!

Instead of giving up due to life’s inherent risks, we should approach it strategically. Just like a chess player calculates moves, we can assess risks, plan, and stay resilient. If we do we will achieve our goals and fulfil the purpose with which we began.

"Life" = full of "Risk" + Controls and Mitigation "Strategy" + done continuesley with "Resilience" + to achieve the "Purpose"