Risk Management

The Risk Management Process in Project Management | ProjectManager

• Risk = what could happen; issue = what’s happening

Phases of Risk Management

1. Identify
2. Analyze = determine the likelihood
3. Evaluate = prioritize
4. Treat = make a plan
5. Monitor and control = assign team members to monitor, track and mitigate

• Tools and techniques
  • Brainstorming
  • Cause-and-effect diagram (fishbone)
  • Risk register = a table of risks, impact level, mitigation plan, etc.
  • Probability and impact matrix (hi, mid, lo) ⇒ inherent risk rating
  • Risk appetite = acceptability of a risk
• Types of risks
  • Time
  • Budget
  • Scope = project will not produce outlined results
  • Single point of failure
  • Dependency (internal vs. external), SS, SF, FF, FS
• Types of mitigation
  • Avoid
  • Minimize (Reduce or control)
  • Transfer
  • Accept