Risk Analysis is a powerful technique for quantifying the risk associated with a process or product, and determining the cost/benefit tradeoffs within the system for managing risk. The application of Risk Analysis to the automotive industry is illustrated using an actual case history. The risk involved was damage to equipment and/or product due to failures within the system. The Risk Analysis identified the elements of the system which were responsible for the high frequency of damage failures the client was experiencing. Corrective action on these elements substantially reduced the occurrence of damage failures. In addition, the analysis predicted an unacceptable level of control system failures -- subsequently confirmed by operating experience. No reasonable-cost remedies were identified by the analysis. Alternate control system strategies are in the process of being evaluated. The case history illustrates the applicability and benefits of Risk Analysis to automotive industry operations in general.