Get instant live expert help with Excel or Google Sheets
“My Excelchat expert helped me in less than 20 minutes, saving me what would have been 5 hours of work!”

Post your problem and you'll get expert help in seconds

Your message must be at least 40 characters
Our professional experts are available now. Your privacy is guaranteed.

Learn from a Risk Matrix Example in Excel

We can apply a risk matrix to a set of data to determine the risk that a hazard poses. We can do this with the INDEX and MATCH function. In this Matrix, the Y-axis tells us the SEVERITY of the risk involved and the X-axis tells us the LIKELIHOOD of occurrence of the RISK. Hence, the RISK of a hazard is calculated as:

Risk of hazard = likelihood of occurrence (probability) * Severity of harm

We will walk through the steps below to understand the process.

Figure 1: How to Use a Risk Matrix

Formula

The formula in Cell D13 is given as:

=INDEX(C5:G9,MATCH(Severity,B5:B9,0),MATCH(Likelihood,C4:G4,0))

Setting up the Data

We will set up the risk matrix by doing the following:

• We will type the severity on the Y-axis (Cell B5 to Cell B9)
• We will type the likelihood on the X-axis (Cell C4 to Cell G4)
• We will input the numbers as shown in figure 2 in the range of C5:G9
• Cell C11, C12, and C13 will be named likelihood, severity, and result respectively
• Cell D11 and D12 will be named as RARE and MODERATE respectively

Figure 2: Setting up the Risk Matrix Data

Determining the Risk

• We will click on Cell E11
• We will type in this string: =MATCH(D11,C4:G4,0)
• Click on Enter
• Likewise, we will click on Cell E12
• We will type in this string: =MATCH(D12,B5:B9,0)
• We will click on Enter

Figure 3: Determining the Result of the Inputted Data in the Risk Matrix

We will type the formula below into Cell D13

=INDEX(C5:G9,MATCH(D12,B5:B9,0),MATCH(D11,C4:G4,0))

Figure 4: Determining the Result of the Inputted Data in the Risk Matrix

We will press enter

Figure 5: Result of the Inputted Data in the Risk Matrix

Explanation

• MATCH function

The match function matches the lookup value within a specified range and we have set it to return an exact match. For instance, when determining the likelihood in the example, we typed in the string below:

=MATCH(D11,C4:G4,0)

D11 is the lookup value, C4:G4 is the range and zero indicates an exact match.

The same scenario applies to determine the severity.

• INDEX function

The INDEX function returns the number or value that is present in ROW 3 and COLUMN 2 based on this string: =INDEX(C5:G9,E11,E12)

This method is preferred to the ALTERNATIVE METHOD because we can vary the SEVERITY and LIKELIHOOD in Cells D11 and D12 respectively to AUTOMATICALLY get the result.

Alternative method

• We will click on Cell D13
• We will type the string below into the Cell
=INDEX(C5:G9,MATCH(D12,B5:B9,0),MATCH(D11,C4:G4,0))
• We will click on Enter

Figure 6: Result of the Alternative method of applying the Risk Matrix

Instant Connection to an Expert through our Excelchat Service

Most of the time, the problem you will need to solve will be more complex than a simple application of a formula or function. If you want to save hours of research and frustration, try our live Excelchat service! Our Excel Experts are available 24/7 to answer any Excel question you may have. We guarantee a connection within 30 seconds and a customized solution within 20 minutes.

Did this post not answer your question? Get a solution from connecting with the expert. 