How do you feel about risk? Is it something you embrace or something you try to mitigate? Chances are you fall into the second category. If you do, you are not alone: it would be fair to say a large majority of UK professionals are risk-averse.

Economic conditions certainly do not help. The continuing credit crunch has made individuals and businesses think twice before investing. But there is more to risk aversion than the prevailing fiscal situation. In short, people are scared to fail.

I recently overheard two IT executives chatting outside an office in central London and one businessman said to his associate: “Thanks for taking a non risk-averse approach.”

I guess he was pleased his partner had decided to back his initiative. In fact, what he really meant was: “Thanks for taking a risk.”

The desire to win at all costs ­- or rather, to avoid coming second ­- means UK professionals increasingly take the safe approach. Such an approach would be understandable if risk was well defined. But many struggle to comprehend what risk actually means.

Computing’s monthly supplement Computing Business recently hosted a chief information officer roundtable that examined the challenges of risk management.

There was a lot of best practice advice for controlling risk, such as improving training, increasing board awareness and taking responsibility at work.

But while implementing the right processes was seen as a given, participants were also concerned that individuals often fail to quantify risk. And as one concluded, it is impossible to manage risk if you do not understand which areas you should be prioritising.

So what is risk? And when is taking a risk appropriate? Those at the roundtable seemed to think it was crucial to create a careful balance between ground-breaking IT and business costs.

More specifically, it was seen as crucial to not add too much control for fear of stifling innovation. Risk is all about proceeding with care. But it is certainly not about avoiding danger at all costs.

Because being prepared to risk coming second might actually result in you winning the race.

Further reading

• Growing risk of litigation threatens IT innovation
• The buck stops with boss on IT security
•  McAfee spam project smells like marketing guff
• Time to focus on the good in databases
• Security technology is not a priority for firms
• Stop buying illegal software, or face the risks...

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Want to contact the writer? Email Mark Samuels