Risk and Uncertainty

Title: Risk and Uncertainty
Type: Principles
Status: final
Version: 2007-07-27
Gist: Provide a set of principles on how to tackle risk and uncertainty
Source: Matthew Leitch's Online Survey on 'Indivudual differences in risk and uncertainty management' (http://www.internalcontrolsdesign.co.uk/rumaresults/index.html)

P1: Objectivity and rationality are desirable.
P2: We usually face risk and uncertainty and need to acknowledge this and act in accordance with it.
P3: Focus on single future outcomes is usually at the expense of an objective view of the future, which requires a recognition of uncertainty.
P4: It is better to be honest.
P5: These considerations are very important and usually outweigh others.

Note: Sven Biedermann offers the notion of 'a project without risk and uncertainty isn't a project'.