Risk visualisations
Risk can be visualized in various ways, each method offering unique strengths depending on the context. Below are six risk visualization tools, along with insights on when to use them.
1. Risk Matrix
A risk matrix is one of the most common risk visualization tools, plotting risks in a two-dimensional grid of probability vs. impact. Risks are categorized as low, medium, or high, depending on where they fall within the matrix.
Best Use:
Simple, easy to understand
Effective for basic risk assessment when there is limited uncertainty
Ideal for non-technical audiences
Limitations:
May oversimplify risks, ignoring nuances such as uncertainty or risk interdependencies.
2. Bubble Diagram
A bubble diagram extends the traditional risk matrix by adding a third dimension: uncertainty. In this method, risks are represented as bubbles, where:
The bubble size represents the strength of knowledge (SoK)
The x-axis is the probability
The y-axis is the consequence described by a confidence interval
Best Use:
To present a richer view of risk, combining both the likelihood, impact, and uncertainties
Limitations:
Can become cluttered if too many risks are shown
Interpreting bubble sizes requires careful attention
3. Risk Plot
A risk plot uses three axes to represent:
Strength of Knowledge (visualized as height in the third dimension)
Probability
Consequences (with 90% uncertainty intervals)
Best Use:
Effective when uncertainties play a critical role in decision-making
Limitations:
More complex, requiring understanding of risk science
4. Risk Radar
A risk radar (also called a risk spider chart) is used to visualize multiple risk dimensions on a circular chart with axes radiating outwards. Each axis represents a different attribute (e.g., probability, impact, vulnerability), and risks are plotted based on their magnitude in these dimensions.
Best Use:
Useful for presenting multidimensional risk attributes
Can compare different projects or departments side by side in terms of their risk profile
Visualising long term risks
Limitations:
Limited in showing complex interrelationships between risks
Can be difficult to interpret if too many dimensions are plotted
5. Multi-Attribute Risk Analysis (MARA)
Multi-Attribute Risk Analysis is a technique that considers multiple criteria for assessing risks. It assigns weights to different risk factors (such as financial, health, environmental, etc.) and scores them accordingly. It then aggregates these factors to provide an overall risk score.
Best Use:
Ideal when multiple dimensions of risk need to be balanced and considered simultaneously
Limitations:
Hard to compare different scales
6. Bow-Tie Diagram
Bow-Tie diagram is a visual representation of risk that shows both the potential causes and consequences of an event in a single diagram. The event is placed at the centre of the “knot,” with causes on one side (leading up to the event) and consequences on the other side (leading from the event).
Best Use:
Excellent for identifying and visualizing preventative and mitigative controls for a specific risk event
Useful in safety-critical industries such as aviation, oil and gas, and healthcare
Limitations:
Focuses on individual risks rather than a portfolio of risks
May oversimplify complex risk events
Conclusion
Choosing the right risk visualization technique depends on your specific needs, the complexity of the risks you’re assessing, and your audience. Simple tools like risk matrices and heat maps work well for quick, high-level assessments, while more advanced methods like bubble diagrams and risk plots are better suited for complex risk analyses that require an in-depth understanding of uncertainty and multiple dimensions of risk.
Understanding the strengths and limitations of each tool will help you select the best method to communicate risks effectively.