Risk management
Risk management helps healthcare services make decisions to avoid or mitigate adverse events and outcomes. It involves implementing a continuous process to identify, mitigate and manage safety and quality risks.
Risks will differ between services and are dependent on the complexity associated with the services it delivers, as well as the size and scope of the healthcare service.
Examples of risks include:
- Cold chain failures in the storage of temperature-sensitive medicines
- Lack of privacy controls to protect patient healthcare records
- Loss of key utilities such as electricity.
Access to technology such as electronic medical records
By using a risk management approach, healthcare services will identify, analyse, evaluate and treat risks to safety and quality in the service. By determining the best course of action to mitigate and manage safety and quality risks, healthcare services can use a general risk analysis matrix, such as the one in Table 1: Healthcare service risk analysis matrix.
Table 1: Healthcare service risk analysis matrix
|
Likelihood
|
Insignificant Consequences
|
Minor Consequences
|
Moderate Consequences
|
Major Consequences |
Catastrophic
Consequences
|
| Almost certain |
Medium |
High |
High |
Extreme |
Extreme |
| Likely |
Medium |
Medium |
High |
High |
Extreme |
| Possible |
Low |
Medium |
Medium |
High |
High |
| Unlikely |
Low |
Low |
Medium |
Medium |
High |
| Rare |
Low |
Low |
Low |
Medium |
Medium |
| Low risk |
Manage by routine procedures. |
| Medium risk |
Manage by specific monitoring or audit procedures. |
| High risk |
This is serious and must be addressed immediately. |
| Extreme risk |
The magnitude of the consequences of an event, should it occur, and the likelihood of that event occurring, are assessed in the context of the effectiveness of existing strategies and controls. |
Planning for emergencies and disasters
A risk management approach should be applied when planning for emergencies and disasters, for example, floods, fires and pandemics. Consider possible scenarios where disruption to service provision may occur and determine how these will be managed to ensure continuity of care for patients.
Links to Action 1.17 Safety and quality roles and responsibilities
