Original Source: Government of Canada
A risk taxonomy is a comprehensive, common and stable set of risk categories that is used within an organization.
By providing a comprehensive set of risk categories, it encourages those involved in risk identification to consider all types of risks that could affect the organization’s objectives.
By providing a common set of risk categories, it facilitates the aggregation of risks from across the organization.
By providing a stable set of risk categories, it facilitates comparative analysis of an organization’s risks over time.
This document includes considerations for departments and agencies with respect to developing and using a risk taxonomy. It outlines an approach to categorizing and aggregating risks that may be tailored to the specific needs of an organization.
It should be noted that a risk taxonomy is not a mandatory component of an integrated risk management approach. However, using a risk taxonomy can help to strengthen and better integrate an organization’s risk management approach, given the benefits outlined above…
Contributors: Open SourceCategories: Industry Articles, SIG U Resource
SRC Type: Risk Management, Sourcing Management, Third Party Management