Risk Based Testing is a smart way to conduct the most appropriate test to make sure the most risk is eliminated from any products that are developed. In this fast paced world, nobody has any time, the Business Houses being no exception. In fact, in the mad rush for market share, Business Houses need launching products at a very fast pace to keep competition at bay. To meet this need of the Business, it is required for IT to be able to churn our solution at a very fast pace. However, for IT, like any other technical department, it is unacceptable to launch a solution which is not reliable. So, what the Business Houses need can be stated as follows.
Increase VELOCITY of solution development while increasing RELIABILITY in parallel.
The solutions are developed by the Development Units. The solutions are tested for reliability by the Testing Units. To increase velocity, it is required for both Development Unit and the Testing Unit to work at higher velocity. Testing Units can increase velocity, if it can cut the volume to test while not compromising on the elimination of risk. This scope adjustment is required by the Testing Units in spite of being completely modern with possibly most tests being performed automatically. The scope of testing can be reduced if the Testing Unit focuses on testing the most vital part of the solution, and not trying test the entire solution. Ultimately, it is a known truth that nothing absolutely perfect can be ever created by Human Being. So, it is prudent that we try to create something from which we make the least losses. And the quantification of losses need making only in terms of hard cash (Even Customer Satisfaction needs being quantified in terms of hard cash).
Provided below is a very simplified version for implementation of Risk Based Testing in a Telecom Operators IT Department. However, this simplification could be a possible practical implementation. I think as complexity of the solution or formula increases, the implementation becomes more difficult and more expensive.