Six Processes for Risk Management
Project management is inclusive of a wide array of responsibilities, not least of these many responsibilities are the tasks which fall under the scope of risk management. Risk management is one of the many complex components of project management. The PMBOK® Guide defines project risk as “an uncertain event or condition that, if it occurs, has a positive or negative effect on one or more project objectives such as scope, schedule, cost, and quality” (p. 310). In Risk Management, the objective is to raise the impact and likelihood of positive risks, while also minimizing the probability of negative risks (PMBOK, 2013).
Specific Processes Although the objectives of minimizing risk and enhancing opportunities seem simple enough, risk management entails much more than that. Additionally, it is the part of the role of the risk manager to decide how much time and effort should be spent on avoiding failures, as well as how much time and effort should be spent promoting opportunities (Homeland Security Risk Management Doctrine, 2011). It can be quite challenging to sort through complex concepts and decipher the best path forward. In one the many efforts which are made to …show more content…
Typically, accomplished as the final process of the overall planning phase of the project, the primary objective of Risk Management Planning is to determine the how to best consider, prepare, and execute the risk management system (PMBOK guide, 2013). Risk Management Planning also involves developing the course of action for controlling, managing, and responding to project risks (CDC, 2006). For example, risk managers often formulate charts, or risk plan matrixes, to aid in organizing and executing the risk management system effectively (CDC, 2006). Risk Management Planning ensure the risk manager has a well organized reference guide to follow throughout the project life
Project management is inclusive of a wide array of responsibilities, not least of these many responsibilities are the tasks which fall under the scope of risk management. Risk management is one of the many complex components of project management. The PMBOK® Guide defines project risk as “an uncertain event or condition that, if it occurs, has a positive or negative effect on one or more project objectives such as scope, schedule, cost, and quality” (p. 310). In Risk Management, the objective is to raise the impact and likelihood of positive risks, while also minimizing the probability of negative risks (PMBOK, 2013).
Specific Processes Although the objectives of minimizing risk and enhancing opportunities seem simple enough, risk management entails much more than that. Additionally, it is the part of the role of the risk manager to decide how much time and effort should be spent on avoiding failures, as well as how much time and effort should be spent promoting opportunities (Homeland Security Risk Management Doctrine, 2011). It can be quite challenging to sort through complex concepts and decipher the best path forward. In one the many efforts which are made to …show more content…
Typically, accomplished as the final process of the overall planning phase of the project, the primary objective of Risk Management Planning is to determine the how to best consider, prepare, and execute the risk management system (PMBOK guide, 2013). Risk Management Planning also involves developing the course of action for controlling, managing, and responding to project risks (CDC, 2006). For example, risk managers often formulate charts, or risk plan matrixes, to aid in organizing and executing the risk management system effectively (CDC, 2006). Risk Management Planning ensure the risk manager has a well organized reference guide to follow throughout the project life