Define 'risk assessment' in the context of consulting projects.

Risk assessment in the context of consulting projects specifically refers to the systematic process of identifying potential risks that could affect the outcome of a project and developing strategies to mitigate those risks. This includes analyzing both internal and external factors that may pose threats, evaluating the likelihood and impact of these risks, and determining appropriate actions to minimize their potential adverse effects. The goal is to enhance the project's chances of success by preparing for uncertainties that may arise during its execution.

The other options revolve around different aspects of project management and business activities. For instance, evaluating employee performance pertains to human resources management, financial forecasting relates to financial planning and projections, and assessing a client's financial status deals with financial health evaluations. However, none of these focuses on the specific identification and management of risks that are central to the definition of risk assessment in consulting.