How to Use a 5×5 Risk Assessment Matrix

Risk assessments aren’t just about listing down different work hazards that could potentially endanger your workers. You need a reliable system for assessing the likelihood and impact of a hazard — this is where the 5×5 risk assessment matrix comes in.

Risk assessments are an essential element of any organisation’s health and safety protocols. This is particularly true in construction, which saw the highest number (45) of fatal injuries across all industries in Great Britain in 2022/2023 

Source: HSE

Risk assessments are also a legal requirement — part of your organisation’s legal obligation towards the health and safety of your workers and the general public. The Management of Health and Safety at Work Regulations 1999 (MHSWR) bolsters the provisions of the Health and Safety at Work etc. Act 1974, by outlining a legal framework for safe work systems. This includes identifying and minimising potential risks through proper risk assessments. 

Related Reading: What Are The Occupational Health Regulations In The UK?

However, it’s one thing to conduct risk assessments but quite another to create effective assessments. The success of a risk assessment ultimately depends on the objectivity and skill of the assessor. For this reason, we recommend using a 5×5 risk assessment matrix to identify and rate each work hazard that could potentially affect your business and workers. 

In this article, we explain what a 5×5 risk assessment matrix is and why businesses in the construction industry need it.

What Is a 5×5 Risk Assessment Matrix?

A 5×5 risk assessment matrix — also known as a risk rating matrix — is used to assess and prioritise risks based on the likelihood and severity of their consequences. The matrix is comprised of a grid with five columns and five rows, creating 25 individual cells. Here’s an example of a risk rating matrix below.

Here’s a quick breakdown of how a 5×5 risk assessment matrix works:

• The five rows represent the likelihood or probability of the risk occurring, while the columns represent the severity (effect) of the consequences. 
• Each cell in the matrix represents a level of risk, with the highest risk in the top-right corner and the lowest risk in the bottom-left corner.
• The likelihood and severity of a risk occurring are usually rated as low, low/medium, medium/high, or high. 
• These ratings are assigned based on the expert knowledge of the risk assessor, and they can be adjusted based on the specific project or situation.

Why Do Construction Businesses Need a 5×5 Risk Assessment Matrix?

Construction businesses face many risks that can have serious consequences if not managed effectively. These risks include accidents, injuries, property damage, and legal liability. 

A 5×5 risk assessment matrix is a useful tool for construction businesses to identify and prioritise these risks and take appropriate action to manage them. Here are some specific reasons why construction businesses need a 5×5 risk assessment matrix.

Related Reading: The Purpose of Risk Assessments Explained

1. It Helps You Rate and Prioritise Risks

A 5×5 risk assessment matrix helps construction businesses identify and prioritise risks based on the probability of certain events happening, as well as the impact on their employees and organisation. This allows businesses to focus their resources and attention on risks that are most likely to happen and those with the greatest impact. For example, a fire in a warehouse where extremely flammable materials are kept can have a high chance of happening and a high impact on your business. 

2. It Enables Proactive Risk Management

Using a 5×5 risk assessment matrix enables construction businesses to identify and manage risks proactively. This means that risks are identified and addressed before they become a problem — as opposed to reacting to risks as they happen.

Proactive risk management is essential in the construction industry, where even a small mistake can cascade into serious consequences. 

3. It Promotes a Culture of Safety in the Workplace

A 5×5 risk assessment matrix enables business leaders to promote a safety culture that’s embedded in their operations. This means that all stakeholders understand the ownership of safety throughout the organisation and that everyone holds themselves and each other accountable for following health and safety protocols. Again, this boils down to the risk assessment matrix being a tool for proactive health and safety management, where risks are identified before they become a problem. 

Related Reading: What Is Safety Culture?

4. It Can Reduce Insurance Costs

Identifying and managing risks effectively allows construction businesses to reduce their insurance costs. Insurance companies are more likely to provide lower premiums to businesses that can demonstrate effective risk management. A 5×5 risk assessment matrix can help you demonstrate your commitment to risk management by highlighting problem areas and flagging risks that need urgent attention before you seek business insurance. 

5. It Can Improve Project Outcomes

Finally, effective risk management through 5×5 risk assessment matrices can lead to improved project outcomes. By identifying and managing risks, businesses can avoid delays, reduce costs, and improve the quality of their work. This can lead to more successful projects and happier clients.

How to Use a 5×5 Risk Assessment Matrix

1. Identify The Risks

The first step in using a 5×5 risk assessment matrix is to identify the risks associated with a project or working environment (for example, a workplace or construction site). This can be done by conducting a risk assessment, which involves identifying hazards, assessing their likelihood and severity, and determining the potential consequences.

Related Reading: Risk Assessment: A Template and Guide

2. Assess the Likelihood and Effect of Risks

The next step is to assess their likelihood and severity. Use the 5×5 risk assessment matrix to assign a rating to each risk based on its likelihood and severity. 

• For example, a risk with a low likelihood of occurrence and low severity of consequences would be something like a slip or fall in a regular office. 
• On the other hand, a fire in a storage area for flammable chemicals would be assigned a high-risk rating.

3. Prioritise the Risks

After assessing the risks, the next step is to prioritise them based on their likelihood and severity. This can be done by placing the risks in the appropriate cell of the 5×5 risk assessment matrix. The risks with the highest likelihood and severity should be placed in the top-right corner of the matrix, while the risks with the lowest likelihood and severity should be placed in the bottom-left corner.

4. Determine Risk Mitigation Strategies

Based on your findings, you’ll then need to determine your appropriate risk mitigation strategies. This may involve implementing control measures to reduce the likelihood of the risk occurring or developing contingency plans to mitigate the consequences if the risk does occur.

5. Monitor and Review the Risks

Finally, it’s essential to monitor and review the risks continuously. This involves regularly assessing the risks and their effectiveness and making adjustments as necessary. This ensures that the risk management strategies are effective and that new risks are identified and addressed promptly.

Check CHAS Insights to discover more guides and tips on promoting health and safety in your organisation. If you are interested in demonstrating your compliance with the evolving landscape of health and safety, sign up for our award-winning health and safety assessments through CHAS Standard. Speak to a CHAS advisor and get started today.