Chapter 9: Risk Flashcards
Definition of risk:
An uncertain event or set of events that, should they occur, will ______ the achievement of objectives. A risk is measured by a combination of the probability of a perceived threat or _______ occurring and the magnitude of its ______ on objectives.
Definition of risk:
An uncertain event or set of events that, should they occur, will affect the achievement of objectives. A risk is measured by a combination of the probability of a perceived threat or opportunity occurring and the magnitude of its impact on objectives.
The person who is the nominated owner of agreed actions to respond to a risk.
How is this person called?
Risk action owner
The degree to which a particular objective is ‘at risk’.
Is this risk exposure or risk velocity?
It is risk exposure
Talk about risk velocity as well
how near in time a risk might occur.
Is this risk proximity or probability?
It is risk proximity. in this case what is risk probability?
A useful way of expressing risk is to consider the following 3 aspects. Which are they?
Risk cause
Risk event
Risk effect
What are the 6 possible risk responses based on PRINCE 2?
- Avoid a threat / Exploit an
opportunity’ - Reduce a threat / Enhance an
opportunity - Transfer the risk
- Share the risk
- Accept the risk
- Prepare contingent
plans
How many steps is the PRINCE2 risk management technique?
5
What are the 5 steps of the PRINCE2 risk management technique?
Identify
Asses
Plan
Implement
Communicate
There are several factors that have an influence on the project’s risk management approach, such as user quality expectations, scale, the needs of the stakeholders involved in the project.
Where is this information included?
This information will be derived from the project mandate, the project brief, and the project product description.
Can any person in the project raise a risk? Where would this risk be captured?
Yes. In the risk register
If the realization of the risk will materially impact the project’s business justification, this might mean that it is not within the project scope for the project team to respond to the risk, but the risk response needs to be escalated. True or False.
True (see page 160)
What are the 6 types of reports, issues might be communicated in?
checkpoint reports
highlight reports
end stage reports
exception reports
issue reports
end project reports
Where is the most appropriate way to communicate risk mentioned?
Project teams should refer to the communication management approach for the most appropriate method to communicate risk information with stakeholders.
Can there be risk management considerations related to sustainability?
Yes
Depending on the scale of the project the risk management activities could be handled by the project manager or a dedicated risk manager resource. True or False.
True.
For example, in a simple project, the project manager would typically directly undertake most risk management activities.
However, in more complex projects these activities might be delegated to a dedicated risk manager or risk management team. Similarly, risks might be held in a simple list on a whiteboard, in a spreadsheet, or in a dedicated system. It is important to ensure that the approach to risk management is appropriate and understood by everyone involved in the project
