The effective management of risk enables companies to pursue safety, production and quality work concurrently. This article is timely for hazardous industries as new Work Health and Safety Legislation is introduced in Western Australia and is embedded in the Eastern States.This article explains the risk based approach to Safe Production. It discusses the need to manage two types of risk – residual risk which is the risk remaining after all controls have been implemented and ‘entropic risk’ which is the tendency for all systems used for production to degrade. This degradation leads to rising ‘entropic risk’ which causes losses to the point when a major loss of production, safety failure or quality deficiency becomes inevitable. Here is the link to the article.