The Risk of Using Risk Matrices

The risk matrix (RM) is a widely espoused approach to assess and analyze risks in the oil & gas (O&G) industry. RMs have been implemented throughout that industry and are extensively used in risk-management contexts. This is evidenced by numerous SPE papers documenting RMs as the primary risk management tool. Yet, despite this extensive use, the key question remains to be addressed: Does the use of RMs guide us to make optimal (or even...