What is the risk assesment matrix?

A risk assessment matrix is a tool used to evaluate and prioritize risks by assessing their likelihood of occurrence and potential impact. Typically presented as a grid, it categorizes risks into different levels, such as low, medium, and high, based on their severity and probability. This helps organizations identify which risks require immediate attention and resources for mitigation. By visualizing risks in this manner, decision-makers can develop more effective risk management strategies.