Risk Mgmt Processes Flashcards
Plan Risk Management
(11.1 PLAN) Defining how to conduct risk management activities for a project.
This process answers the question “how will we manage risk?” Risk categories are identified in preparation for when risks are identified in process 11.2, definitions of risk probability and impact are laid down in preparation for processes 11.3-11.5, and finally the way risks are tracked and reported on are hammered out in preparation for process 11.6.
Identify Risks
(11.2 PLAN) Determining which risks may affect the project objectives and documenting their characteristics.
Risks are identified by the various groups of stakeholders using various information-gathering techniques and are organized and put in a risk register.
Perform Qualitative Risk Analysis
(11.3 PLAN) Prioritizing risks for further analysis by assessing likelihood & impact.
The risks are rated according to two variables, their probability and their impact. This gives a general idea of their severity.
Perform Quantitative Risk Analysis
(11.4 PLAN) Numerically analyzing the effect of risks on project objectives.
This process focuses on quantifying the impact of a particular risk on a project. The aggregate of all risks is evaluated.
Plan Risk Responses
(11.5 PLAN) Developing options and actions to enhance opportunities and reduce risk.
The risks identified in 11.2, qualified in 11.3 and quantified in 11.4 are now planned for both in terms of resources and/or activities needed to reduce their impact on the project objectives.
Monitor and Control Risks
(11.6 M&C) Tracking identified risks, implementing risk response plans if risks occur, and evaluating risk process effectiveness.
This is where risks that were identified are tracked during the course of the project, and corrective action taken according to 11.5 Plan Risk Responses if they do occur. The project management plan is updated to reflect any changes that occur to the project schedule, costs, etc., as a result of risks that do occur.
