Risk Management

Risk Management is a process to identify risks, analyze risks, and to choose proactive responses to project risks. The Project Manager is responsible to ensure that all of the project team, especially the decision makers, understand the risks involved in the project and the consequences of those risks. The sequence of the Risk Management Process is as follows:

  • Risk Management Planning
  • Risk Identification
  • Risk Analysis
  • Risk Response Planning
  • Risk Monitoring and Control

We will work together to both identify and capture risk in a register. Risks are analyzed based on two metrics: probability and impact. Probability is estimated by the likelihood that the risk will occur. Impact is measured in terms of cost, time, and functionality to the project. The next step in the Risk Management Process is developing risk response strategies. After risks are categorized as red, amber, or green, the team discusses the responses for the categories of risks so that all stakeholders are aware of the consequences of the issue and that the team has responsibility for the risks. Proactive, tailored, risk responses are then developed and the plan of the response is documented.