Step 4: Risk taking
This is the part where you actually take the business risk. But by this step you’ve already planned for most of the risk you’re going to take – it’s part of the plan.
It’s worth noting this step is continuous, as waiting too long to take risks may actually be taking a risk unto itself – the risk that the opportunity will pass you by while you wait and make plans. In either event, once you take action you don’t stop.
Along the way you may tweak and add or subtract based on changes from the previous steps, but taking action is the most important step. No journey was ever made without action.
Step 5: Business risk monitoring
Using both pre-planned tools and whatever tools become available to you on your journey, monitor your key points of failure.
- Keeping fears in check so a negative wave doesn’t cause you to quit
- Tweaking or changing as needed if you veer away from your goal
- Tweaking or changing as needed if your risk tolerance or capacity change drastically due to other circumstances
- Adjusting your Risk Policy (step 3) from lessons learned along the way
Like risk policy, risk monitoring will use different tools. The key is to remember your required risk consumption then mitigate the potential downside as much as possible. Risk may be required, but facing every negative consequence doesn’t need to be.