| dc.description.abstract | In current times, organizations face a multitude of safety and security risks without necessarily having the means to treat all of them by implementing risk-reducing measures. As a result of tightly budgeted capital expenditures, the need for prioritizing which risks one ought to be dealing with is highly relevant. The greatest risks are characterized by having a high degree of uncertainty. This thesis explores proportionality in risk management literature and practice. Proportionality has not been defined concerning safety and security risks, despite being a fundamental part of risk management. Considering this, this thesis aims to explore the following topic question: Is there room for more focus on proportionality in risk management literature?
To gain an understanding of the topic question, a qualitative methodological approach was applied in the form of semi-structured interviews. The findings from interviews with professionals working with risk were analyzed against a theoretical framework about risk management, including tools and principles and the differences between safety and security related to risk. This analysis formed the basis for assessing whether there is room for more focus on proportionality in risk management and challenges related to such a focus.
The findings indicate that proportionality is not explicitly explained or defined concerning risk management in literature or practice. Although this concept has not been defined, the concept is known by risk professionals resulting in the finding that proportionality is emphasized in practice. Challenges associated with proportional thinking in risk management appear. The dynamic aspect of risk, the lack of flexibility in an operating system, and neglecting the smaller risks can be challenging. A thorough planning phase by creating flexibility for the unexpected risks that will appear and having a holistic risk picture are key contributors to limiting the challenges.
Furthermore, this thesis finds that proportional thinking can be used alongside strategies for handling uncertainty-induced risk problems. The lack of focus on proportionality in risk management literature and the findings on how the concept is a part of real-life risk management shows that there is room for proportionality in risk management literature. This thesis recommends creating a definition of the term proportionality that considers safety and security risks, including the dynamic aspect of risk and how multiple risks are handled simultaneously, and that definition should be the basis of focus on proportionality in future risk management literature. | |