How Context and Significance Models Work Together

Risk evaluation depends on the interaction of a context model and a significance model.

• A context model sets criteria for evaluating a risk. For each criterion, it establishes ratings you may select during an evaluation, and it uses those values to calculate an overall risk rating. These rating values are numeric. The context model also selects a significance model.
• A significance model establishes ranges of risk ratings and assigns a text label to each range. It accepts the overall rating calculated by the context model for a given risk. It returns the label corresponding to the range that contains the rating value.

To create or edit either of these model types, select the Models tab in the Risks work area. Then, in a Models page, locate the panel that displays records of the type of model you want to work with.

Or, select one of two quick actions, Create Risk Context Model or Create Risk Significance Model, from the Risk Management springboard. (Depending on the number of quick actions available to you, you may need to select a Show More option on the springboard.)