Project Risk Management Michael D. Harper, Ph.D. “Project risk management is concerned with identifying, analyzing, and responding to project risk.” Project Risk Management Process Groups & Monitoring Major Processes Controlling Closing Executing Planning Initiating Plan Risk Management 1 Identify Risks 2 Perform Qualitative Risk Analysis 3 Perform Quantitative Risk Analysis 4 Plan Risk Responses 5 Control Risks 6 Risk & Utility Risk= [Probability & Outcome] or [Likelihood & Consequence] Utility= Attitude toward risk. (Risk-neutral, Risk-averse, Risk-prone) Plan Risk Management. Risk Management Plan (RBS, Approach, Components) RBS: Risk Breakdown Structure (Identify Risk Categories) Identify Risks. Create a Risk Register of risk events. Risk Analysis. Perform Qualitative Risk Analysis. Risk Ranking. (Matrix, Risk Factor, Top Ten Tracking, Watch List.) Perform Quantitative Risk Analysis. Risk Evaluation. (Stochastic Utility Analysis, Decision Analysis, PERT/CPM Analysis, Simulation.) Plan Risk Responses. Risks with Positive and Negative Consequences. Additional Risks and Plans. Control Risks Conduct risk audits and reviews Analyze triggers, trends, patterns.
Project Risk Management Michael D. Harper, Ph.D. “Project risk management is concerned with identifying, analyzing, and responding to project risk.” Project Risk Management Process Groups Major Processes Initiating Planning Executing Monitoring & Controlling Closing Plan Risk Management 1 Identify Risks 2 Perform Qualitative Risk Analysis 3 Perform Quantitative Risk Analysis 4 Plan Risk Responses 5 Control Risks 6 Risk & Utility Risk= [Probability & Outcome] or [Likelihood & Consequence] Utility= Attitude toward risk. (Risk-neutral, Risk-averse, Risk-prone) Plan Risk Management. Risk Management Plan (RBS, Approach, Components) RBS: Risk Breakdown Structure (Identify Risk Categories) Identify Risks. Create a Risk Register of risk events. Risk Analysis. Perform Qualitative Risk Analysis. Risk Ranking. (Matrix, Risk Factor, Top Ten Tracking, Watch List.) Perform Quantitative Risk Analysis. Risk Evaluation. (Stochastic Utility Analysis, Decision Analysis, PERT/CPM Analysis, Simulation.) Plan Risk Responses. Risks with Positive and Negative Consequences. Additional Risks and Plans. Control Risks Conduct risk audits and reviews Analyze triggers, trends, patterns.