THE FINE-KINNEY RISK CLASSIFICATION METHOD ASSISTS IN RISK EVALUATION
The risk ranking methodology used is based on the Fine-Kinney risk classification method developed by the US Navy. It dates back from the 1970’s. Multiple variations have been developed over time.
The method for risk assessment is based on three parameters (Probability; Frequency; and Severity). This method allows an objective numerical assessment and documentation of how you rank a risk.
The risk factor is based on risk exposure, likelihood and consequence. Risk Exposure is about identifying how often there is a situation where things could go wrong. Likelihood is about assessing how likely or unlikely it is that things go wrong. Consequence is the effect of what happens if things go wrong.
In terms of consequence, practical scenarios and thresholds are provided to classify consequences for human health, environment, production disruption and/or business damage.
