ShwetaSai

 Profile Answers by ShwetaSai 

• Jun 30th, 2009

 

1. Risk Identification – the Risk Manager conducts risk identification meetings and uses the Risk Identification report and questionnaire to assist with initial identification of risks.

2. Risk Analysis – this involves categorizing risks, impact analysis, risk reviews, risk acceptance and updating the Risk Log.

3. Risk Response Planning – next plan mitigation activities, contingency activities, and review the risk action plans.

4. Risk Plan Implementation – once these are established, monitor trigger events, execute the action plan, and update the Risk Log.

5. Risk Tracking, Monitoring & Control – this stages concerns how the risk is progressing, as well as mitigation/contingency strategies that have been executed. When changes to the risk occur, repeat the cycle of identify, analyze, and plan.

kurtz182

 Profile Answers by kurtz182 Questions by kurtz182

• Nov 24th, 2009

 

Risk is the likelihood and impact (positive or negative) that an event or series of events may occur. It analyzes the probability that these event(s) become an issue as well as their impact.

Risk management considers the following factors:
   a) Event: What could happen?
   b) Probability: How likely is it to happen?
   c) Impact: How bad will it be if it happens?
   d) Mitigation: How can you reduce the Probability (and by how much)?
   e) Contingency: How can you reduce the Impact (and by how much)?
   f) Reduction = Mitigation X Contingency
   g) Exposure = Risk – Reduction

Risk Managers conduct scope meetings, risks reviews, and monitor sessions with relevant stakeholders in order to produce their Risk Management Plans.  These plans include: 
1) Define your project.
2) Identify the consequences of each risk.
3) Eliminate irrelevant issues.
4) Determine all identified risk elements.
5) Assign probability to each risk element on your list.
6) Assign impact.
7) Determine risk for the element.
8) Rank the risks: List all the elements you have identified from the highest risk to the lowest risk.
9) Compute the total risk
10) Develop mitigation strategies. Mitigation is designed to reduce the probability that a risk will occur.
11) Develop contingency plans. Contingency is designed to reduce the impact if a risk does occur.
12) Analyze the effectiveness of strategies. How much have you reduced the Probability and Impact? Evaluate your Contingency and Mitigation strategies and reassign Effective Ratings to your risks.
13) Compute your effective risk. This steps includes mitigation and contingencies.
14) Monitor your risks in order to know when they occur.