Unfortunately, I cannot access information specific to your organization’s internal decision-making model. However, I can provide a general framework for formal decision-making models that incorporate risk assessment:

Risk-Based Decision-Making Model

This model emphasizes the identification, analysis, and mitigation of potential risks throughout the decision-making process.

Steps:

1. Identify the Decision: Clearly define the decision to be made and the desired outcome.
2. Gather Information: Collect relevant data about the options under consideration, including potential risks and rewards. This may involve stakeholder input, market research, and financial analysis.
3. Risk Assessment: Identify potential risks associated with each option. Analyze the likelihood and severity of each risk. Tools such as FMEA (Failure Mode and Effects Analysis) or scenario planning can be used for this step.
4. Develop Mitigating Strategies: Develop strategies to minimize or eliminate identified risks. This may involve contingency plans, risk transfer (e.g., insurance), or adapting the decision options.
5. Evaluate Options: Weigh the potential benefits and risks of each option, considering financial implications, stakeholder interests, and ethical considerations.
6. Make a Decision: Choose the option that best aligns with the organization’s goals while minimizing risk exposure.
7. Monitor and Review: Monitor the decision’s implementation and adjust strategies as needed.

Tools and Stakeholders:

• Financial modeling software for cost-benefit analysis.
• Risk management software to track and assess risks.
• Project management tools to monitor progress and implement decisions.
• Subject matter experts to provide specialized knowledge on specific risks.
• Financial analysts to assess financial implications of different options.
• Senior management to provide strategic direction and approve final decisions.

Evaluation:

Pros:

• Promotes informed decision-making by considering potential risks and benefits.
• Encourages a proactive approach to risk management.
• Improves communication and collaboration among stakeholders.
• Provides a documented framework for decision-making.

Cons:

• Can be time-consuming and resource-intensive, especially for complex decisions.
• Overly complex models may lead to analysis paralysis.
• Requires accurate data and effective risk assessment skills.
• May not capture all potential unforeseen risks.

Blind Spots:

• Human error: Failure to accurately identify or assess risks.
• Unforeseen events: Black swan events that could not be predicted.
• Organizational bias: Internal biases that may skew risk perception.