Project Risk Management
E2W Training
Risk is a Planned Future Event, Not a Current Issue
Foundation
Risk Management - Process to identify, analyze and respond to project risk
Qualitative Analysis - Prioritize risk combing probability & input (heart/feeling)
Quantitative Analysis - Numerical (brain/logical)
Tolerances - Level or risk you are willing to accept
Trigger - event to cause a risk to materialize or indicates that it will materialize in the future
Risk Mitigation - Process of reducing the probability of risks occurrence or impact
Risk Contingency - Tasks associated with dealing with the risk in the event that they occur
3 Components
Event - "Thing"
Probability - High/Low or %
Impact - Financial or time
Risk vs Issue
Risk is a future event, if it occurs, it will impact the project
Issue is a present event, it is impacting the project
Objective
Issues
(Tracked Separately from Risks) - use the cbb.p issue log
1. Management Issues - occur from daily activities
2. Defect Issues - direct result of product defects (technical testing)
3 Enhancement Issues - result from undocumented requirements (user testing)
Risk Management is All...
...about the money
Any schedule or scope changes will impact money
Risk Identification
1. Identify - identify as many risks as possible
2. Classify - Better understand source, effects and additional risks
Sample Classification
Schedule
Budget
Scope
Technical
Legal
Environmental
Risk Quantification
1. Quantification
2. Prioritization
3. Filter
4. Quantification
Probability - High, Medium, Low
Impact - High, Medium, Low