Enthalpy's risk assessment and mitigation philosophy and processes help shareholders get the maximum possible value from projects with the lowest possible risk.

Maximising emerging trends

Since risk management techniques were introduced in the early 1990s, managers and project leaders have been able to add these valuable tools to their traditional methods of controlling projects.

In 1994, Enthalpy recognised the emerging business trend, and began evaluating project risks and proposing ways to mitigate the risks identified. Within a couple of years, the Australian Standard AS4360 had been adopted, and a structure for conducting risk assessments was well in place.

By the late 1990s, Enthalpy had fully embraced risk management techniques, using the tool in the early phases of feasibility studies to focus management efforts on the best possible risk mitigation.

Risk management today

Today, Enthalpy is an experienced user and practitioner of risk assessment and mitigation programs. Supporting its experience is an extensive database and standards checklist of potential project risks.

An important element of Enthalpy's risk assessment and mitigation is its solid grounding in actual project outcomes. By examining the lessons learned during past projects, Enthalpy can evaluate actual risks, probabilities and consequences - rather than rely on theoretical probabilities.

Risk management objectives

For each risk management endeavour, Enthalpy has set four key objectives.

The first is to extract for shareholders the best possible value for the lowest possible risk.

Enthalpy does this by continuously reducing risk as an enterprise, business, project or operation is established.

The second objective is to establish efficient risk management programs, which minimise threats and gain maximum benefits from opportunities.

Thirdly, Enthalpy uses risk-ranking procedures that focus management attention and programs on the highest levels of risks.

Enthalpy's final objective is to institute procedures that ensure risks are managed, reported and monitored at all appropriate levels.

Program outcomes

A successful risk management program should balance the risks and rewards of any venture.

Outcomes of Enthalpy's programs include:

• Improved return for risk relationship
• Lowered risk profile, because of reduced consequences and likelihood of events
• Management and resources focused on highest risk areas
• Stakeholders have an increased degree of confidence in an environment of 'no surprises'