How to identify areas of risk, how to quantify and quality them, and how to plan for them.
There are seven Risk Management processes that account for 82 inputs, tools, and outputs.
|Process Group||Risk Management Processes|
|Planning||Plan Risk Management
Perform Qualitative Risk Analysis
Perform Quantitative Risk Analysis
Plan Risk Responses
|Executing||Implement Risk Responses|
|Monitoring & Controlling||Monitor Risks|
|Plan Risk Management||Risk Management Plan|
|Identify Risks||Risk Register, Risk Report|
|Perform Qualitative Risk Analysis||No Key Outputs|
|Perform Quantitative Risk Analysis||No Key Outputs|
|Plan Risk Reponses||No Key Outputs|
|Implement Risk Responses||Change Requests|
|Monitor Risks||No Key Outputs|
The meaning “risk” has three characteristics that should be understood:
- Risk is related to an uncertain event
- Risk may affect the project for good or bad.
- There is a difference between Individual Project Risk and Overall Project Risk. An Individual risk threatens an objective while an Overall risk affects the success of the overall project.
The Risk approach needs to be tailored to fit with the factors that influence the project: Size of Project, Project Complexity, Inherent Project Risk, Project Methodology, Importance.