What Is Risk, Really?

ByMatthew

“Risk comes from not knowing what you’re doing.” – Warren Buffett

There are many things we are not prepared for, that we will never encounter.

There are, however, many things that we can reasonably expect to encounter, that we could prepare for, that we ignore (for whatever reason… ).

Some examples:

Divorce is (generally) a result of not addressing risk adequately: not loving yourself enough and choosing the wrong partner, ignoring danger signs (i.e. risks) at the outset; or, not loving your partner enough, and letting the marriage atrophy and wither.

Losing a job is (overwhelmingly) the result of not addressing risk adequately: not adding enough value and becoming expendable; not adding new skills and abilities and becoming irrelevant.

Most every “surprise” is the result of unmitigated risk – of not taking a clear-eyed view of likely scenarios and making sufficient preparations.

Not every risk is completely avoidable. But most every risk that you can identify responds well to mitigation.

For whatever you have in life that is precious and/or critical, consider the risks. Take steps to deal with those risks before they becomes problems, or crises.

One of the great talents in life is balancing moving ahead, focusing in growth and opportunity, and spending time and resources dealing with risk – the “what-ifs” of life.

Similar Posts

  • A Word on Motivation

    ByMatthew

    It just occurred to me that maybe I’ve never really understood “motivation.” Oh sure, I’ve learned that it’s better to be inspired than motivated and better to motivated than coerced. But what is motivation, really? Motivation isn’t something real or actual. It’s a word that describes what happens when one puts a motive into action….

  • What If The Worst Meant Something Else?

    ByMatthew

    Storms make trees take deeper roots. – Dolly Parton This quote got me to thinking about something I read in Martin Seligman’s book Flourish about post-traumatic growth. Yes, that’s right growth, not “stress.” Turns out that a sub-set of soldiers returning from combat actually grow from the terrible experience of combat. Another interesting finding is that most of…

  • Start With The Result

    ByMatthew

    Focus your messages on the results you expect, not on the methods for doing the job. – Marty Brounstein Whether it’s a goal you have, or something you want from others, it’s always better to focus on being clear about what the outcome looks like (than try to prescribe the methods). This way methods can be…

  • Being Open

    ByMatthew

    The soul should always stand ajar, ready to welcome the ecstatic experience. – Emily Dickinson Is your soul open? Are you ready for miracles in your life? In a way, our lives themselves are miracles. The human body functioning, minute after minute, hour after hour, day after day is a miracle. So much has to…