The goal of risk management is to proactively identify safety-related hazards and mitigate the associated risks. Risk management is an important component of decision-making. When a pilot follows good decision-making practices, the inherent risk in a flight is reduced or even eliminated. The ability to make good decisions is based upon direct or indirect experience and education. It is important to remember the four fundamental principles of risk management:

Unnecessary risk is that which carries no commensurate return in terms of benefits or opportunities. Everything involves risk. The most logical choices for accomplishing a flight are those that meet all requirements with the minimum acceptable risk. The corollary to this axiom is “accept necessary risk” required to complete the flight or task successfully. Flying is impossible without risk, but unnecessary risk comes without a corresponding return. If flying a new airplane for the first time, a flight instructor might determine that the risk of making that flight in low instrument flight rules (IFR) conditions is unnecessary.

Anyone can make a risk decision. However, risk decisions should be made by the person who can develop and implement risk controls. In a single-pilot situation, the pilot makes the decision to accept certain levels of risk, so why let anyone else—such as ATC or your passengers—make risk decisions for you? In the maintenance facility, an aviation maintenance technician (AMT) may need to elevate decisions to the next level in the chain of management upon determining that those controls available to him or her will not reduce residual risk to an acceptable level.

All identified benefits should be compared against all identified costs. Even high-risk endeavors may be undertaken when there is clear knowledge that the sum of the benefits exceeds the sum of the costs. For example, in any flying activity, it is necessary to accept some degree of risk. A day with good weather, for example, is a much better time to fly an unfamiliar airplane for the first time than a day with low instrument flight rules (IFR) conditions.

Risks are more easily assessed and managed in the early planning stages of a flight. Changes made later in the process of planning and executing may become more difficult, time consuming, and expensive. However, safety enhancement occurs at any time appropriate and effective risk management take place.

Risk management is a simple process which identifies operational hazards and takes reasonable measures to reduce risk to personnel, equipment, and the mission. During each flight, the pilot makes many decisions under hazardous conditions. To fly safely, the pilot needs to identify the risk, assess the degree of risk, and determine the best course of action to mitigate the risk.

A hazard is defined as any real or potential condition that can cause degradation, injury, illness, death, or damage to or loss of equipment or property. Experience, common sense, and specific analytical tools help identify risks. Once the pilot determines that a hazard poses a potential risk to the flight, it may be further analyzed.

Each identified risk may be assessed in terms of its likelihood (probability) and its severity (consequences) that could result from the hazards based upon the exposure of humans or equipment to the hazards. An assessment of overall risk is then possible, typically by using a risk assessment matrix, such an online Flight Risk Awareness Tool (FRAT). This process defines the probability and severity of an accident.

Investigate specific strategies and tools that reduce, mitigate, or eliminate the risk. High risks may be mitigated by taking action to lower likelihood and/or severity to lower levels. For serious risks, such actions may also be taken. Medium and low risks do not normally require mitigation. Effective control measures reduce or eliminate the most critical risks. The analysis may consider the overall costs and benefits of remedial actions, providing alternative choices when possible.

The following principles allow for maximum benefit from series of steps described above that form a risk mitigation strategy: