How comfortable you are with being uncomfortable.
Entrepreneurs take risks. But facing the unexpected can be nerve wracking for anyone. To be able to take calculated risks - and help you when you face uncertainty - it`s useful to get into the right mindset.
Having a tolerance to risk is also about being open to trying new things and being willing to adapt and change. This behaviour can help to grow and develop a business. Just because you take risks doesn`t mean you can`t plan and prepare as much as possible. One way to prepare is to first consider the consequences of risk-taking:
* List what is the worst thing that could happen if you take the risk.
* Decide if you can live with the worst possible outcome.
* Explore the flip-side...what is the worst thing that could happen if I don`t take the opportunity?
Being able to operate in ambiguous environments, and work with uncertain ideas, can be helpful in today`s rapidly changing world. But, there are still ways we can assess a situation in order to help mitigate the overall risk.
One way to help calculate and mitigate risk is to use SCORE:
* Strengths: (advantages, capabilities, resources, assets, potential)
* Challenges: (weaknesses indicate needed capabilities and resources)
* Options: (opportunities and risks)
* Rewards: (probable or emergent consequences of action or inaction)
* Effectiveness: (efficient, reliable, elegant, appropriate, integrated)
This Video asks - how reliable is your gut instinct? And offers a technique for helping us make smart choices.