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Communicating The Contingency Plan To The Relevant Stakeholders

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Risk communication is defined as any two-way communication between stakeholders about the existence, nature, form, severity, or acceptability of risks. It is vitally important to understand the basic concepts of risk communication and to ensure that communication among stakeholders is integral to the risk management process.

Inherent in risk management decisions are uncertainties and value assumptions about the nature and significance of the risk. Stakeholders may bring information and perspectives to the table that are critical to the decision process. Ongoing exchange of information and ideas between risk managers and stakeholders is fundamental to the overall risk management process. It is critical to building trust in the decision process and therefore ensuring a successful outcome. Experience increasingly shows that decisions made with the involvement of interested and affected parties are more effective and more durable.

The risks associated with ineffective risk communication include irreplaceable loss of management credibility, unnecessary and costly conflicts, diversion of management attention from important problems to less important problems, non-supportive and critical employees, and unnecessary human suffering due to high levels of anxiety and fear.

RISK COMMUNICATION TASKS IN THE RISK MANAGEMENT PROCESS

RISK MANAGEMENT STEP

RISK COMMUNICATION TASK

Initiation

  • Identify stakeholders.
  • Consult with stakeholders in defining scope of issue.

Preliminary Analysis

  • Develop stakeholder analysis for ongoing verification and refinement.

Risk Estimation

  • Discussion of source, exposure issues.
  • Communication of results with stakeholders.
  • Assess changes in knowledge/perception in light of new information.

Risk Evaluation

  • Elicit stakeholder perceptions of the risks and benefits, and the reasons for these, if possible.
  • Assess stakeholder acceptability of the risk.

Risk Control

  • Consult with stakeholders to gain input into identifying and evaluating control options.
  • Inform stakeholders of chosen risk control and financing strategies.
  • Inform stakeholders of benefits, costs, and any new risks associated with proposed control options.
  • Evaluate acceptance of control options and residual risks.
  • Determine if risk trade-offs might be possible.

Implementation (Action)

  • Communication of risk control decision and implementation.

Monitoring

  • Ensure implementation of communication strategies.
  • Monitor changes in needs, issues, concerns of existing or new stakeholders.

Risk communication among stakeholders is deemed integral to all stages of the risk management process. Communicating well has benefits for good risk management.

During the Initiation step, the risk communication tasks include identifying stakeholders and assessing stakeholder perspectives on the risk issue for the purpose of defining the scope of the issue to be addressed. Stakeholders include groups that are affected or potentially affected by the risk, risk managers, and groups that will be affected by any efforts to manage the source of the risk. Stakeholders may include the decision-maker(s), community groups, local governments, public health agencies, businesses, labour unions, the media, individuals and groups, environmental advice organisations, and provincial and national government agencies.