Risk Response Categories Avoid typically change an aspect of the project so the threat can no longer happen – Reduce Either reduce the chance of the threat occurring or reduce the impact of – the threat should it occur Fallback Build a fallback plan for actions which will reduce the threat should the – risk occur Transfer A third party takes on responsibility for some of the financial impact of – the threat (via insurance or contractual agreement) to reduce the financial cost of the threat Accept accept that the threat may be encountered, usually because it is either – unavoidable or financially unviable to avoid the threat Share work with third parties to share either the cost loss or gain associated with – the threat Exploit seize an opportunity to ensure the opportunity will happen and the – beneficial outcome will be realised Enhance take actions to improve the probability of an event occurring and to – enhance the beneficial outcome should it occur Reject a conscious decision not to exploit an opportunity as it is more economical – to continue without responding Implement The primary objective of this step is to ensure the planned risk responses are implemented, their effectiveness monitored and corrective action taken where responses do not provide effective solutions. To ensure this is carried out efficiently, there will be a sole Risk Owner. This is a named individual who is responsible for the management, monitoring and control of all aspects of a particular risk. There may be a Risk Actionee responsible for carrying out the required response action for a risk or set of risks. The Risk Actionee should perform under the direction of the Risk Owner. The Risk Owner and Risk Actionee may be the same person. A risk will be assigned to a single individual. An individual may be responsible for more than one risk but consideration should be to their workload and abilities to ensure any individual is not allocated more risks than they can practically manage. Communicate Risks will be communicated outwards as part of: Checkpoint Reports - frequency defined in each Work Package, minimum of monthly Highlight Reports - defined by Project Board, minimum of monthly End Stage Reports End Project Reports Lessons Reports at End Stage and End Project –
Risk Response Categories Avoid – typically change an aspect of the project so the threat can no longer happen Reduce – Either reduce the chance of the threat occurring or reduce the impact of the threat should it occur Fallback – Build a fallback plan for actions which will reduce the threat should the risk occur Transfer – A third party takes on responsibility for some of the financial impact of the threat (via insurance or contractual agreement) to reduce the financial cost of the threat Accept – accept that the threat may be encountered, usually because it is either unavoidable or financially unviable to avoid the threat Share – work with third parties to share either the cost loss or gain associated with the threat Exploit – seize an opportunity to ensure the opportunity will happen and the beneficial outcome will be realised Enhance – take actions to improve the probability of an event occurring and to enhance the beneficial outcome should it occur Reject – a conscious decision not to exploit an opportunity as it is more economical to continue without responding Implement The primary objective of this step is to ensure the planned risk responses are implemented, their effectiveness monitored and corrective action taken where responses do not provide effective solutions. To ensure this is carried out efficiently, there will be a sole Risk Owner. This is a named individual who is responsible for the management, monitoring and control of all aspects of a particular risk. There may be a Risk Actionee responsible for carrying out the required response action for a risk or set of risks. The Risk Actionee should perform under the direction of the Risk Owner. The Risk Owner and Risk Actionee may be the same person. A risk will be assigned to a single individual. An individual may be responsible for more than one risk but consideration should be to their workload and abilities to ensure any individual is not allocated more risks than they can practically manage. Communicate Risks will be communicated outwards as part of: Checkpoint Reports - frequency defined in each Work Package, minimum of monthly Highlight Reports - defined by Project Board, minimum of monthly End Stage Reports End Project Reports Lessons Reports – at End Stage and End Project
p2_risk_management_strategy_example_v01.docx