Each day, we encounter small forms of risk in our lives, often without even realizing it. Some risks are much more obvious, such as divulging personal information to strangers or signing a shady contract, while others are more subtle. As professionals, cleared or not, managing risk is a crucial part of keeping our jobs free and clear from bad outcomes and unexpected catastrophes. The key to managing risk is being able to identify potential hazards before they escalate – avoiding bad outcomes usually doesn’t mean you’re lucky; it means you’ve learned how to recognize warning signs early. The following three tips can help strengthen your risk identification skills ahead of your next sticky situation at work.
Don’t Ignore the Red Flags
While the idea of “ignoring red flags” may sound obvious, many professionals gloss over emerging issues without a second thought. When work is already stressful and all-consuming, it can feel like the easiest choice is to ignore problems until they’re having a real, looming impact. An investment opportunity that boasts large returns with minimal to no risk, being discouraged from asking questions, and requests for sensitive information are almost always signs that something is off. Don’t be afraid to proactively clue into things that raise your suspicions.
Ponder Long-Term Consequences
In the moment, any number of choices can appear harmless when you’re put on the spot. Investing small amounts of money now and again may feel insignificant, but continually doing so can land you in debt. Sharing personal information with a trendy business online can feel like the beginning of a promising new job, but it could lead to identity theft later on. A powerful decision-maker doesn’t only consider the present moment – they mull over what the decision will mean for them a year or ten years from now.
Trust Instincts, But Verify the Facts
Sometimes, something just feels off. Your instinct is vital, but it’s not the only component that should impact your decision making. If a situation doesn’t feel quite right, ask more questions, and do some research. Taking time to yourself before making a commitment to a new company, contract, or opportunity is always appropriate. A little investigation can sometimes be all it takes to confirm whether a situation is safe or risky.
The next time you’re faced with a new business opportunity or side hustle, cover all of your bases and protect yourself by asking questions, thinking of your future, and having an eye for red flags. The quiz above tests you on some real-life scenarios you may one day encounter as a professional – you’ll be able to spot potential problems like a pro as you move forward.
