15. Business (e.g. misuse of project funds, resources, etc)
Technical (e.g. inability to complete any activity to fulfill the project requirement)
Operational (e.g. inability of a team member to coordinate and communicate effectively and efficiently with other peer, subordinate or supervisor)
16. With respect to project life cycle (PLC), the risks can be categorized into followings:
Scope risks (e.g. change in scope due to client requirement)
Quality risks (e.g. inability to complete tasks up to required technical or quality performance)
Schedule risks (e.g. inability to complete tasks within estimated time limits)
Cost risks (e.g. inability to complete tasks within the estimated budget)
Procurement risks (e.g. inability to procure material or machinery in time)
19. The extent or scope of events to be assessed
The complete range of potential risks or hazards should be considered
All team members and stake-holders on board.
Sufficient monitoring and review
Project objectives should be crystal clear i.e. time, cost, scope and quality
Clear Focus i.e., maximizing opportunities to enhance project objectives with shorter schedule, lower cost, improve scope and higher quality
Minimize crisis by crisis-management-strategies.
20. Realistic and honest recognition of project risks even if they indicate problems with the project
Candid and unbiased discussions.
Quantity not the Quality, initially.
Do not reveal repercussions of discussions to the general attendees.
Do communicate the gravity and significance of the results to the selected wisdom of the industry while doing Quantification process.
Bureaucratic hierarchy should be discouraged in meetings where risk identification and assessment is discussed
The team members should be committed in collecting realistic and high quality data about risks.
Risk data is based on the expertise and judgment of informed individuals. It requires committed effort and organizational support to spend the time and resources needed to collect data about project risk
Final success factor is developing threshold definitions of risk consequence on main objectives, identifying the combinations of probability and consequence that lead to risk ranking/rating as low, moderate and high and determining the relative importance of different project objective. Technically termed as Risk Strategy.(Risk Matrix)
ISO (International Organization for Standardization) suggests:
be an integral part of organizational processes.
be part of decision making.
explicitly address uncertainty.
be structured and systematic.
be based on the best available information.
take into account human factors.
be transparent and inclusive.
be dynamic, iterative and responsive to change.
be capable of continual improvement and enhancement.
22. PLAN Risk Management
23. Risk Management PLANNING
25. PLAN Risk Management
33. Purposely left blank
36. RISK MATRIX
40. RISK MATRIX