Risk management planning
June 5, 2014Projects and risk management
The formal process whereby risk factors are provided for by systematic identification and assessment.
Risk management is a process for organised assessment and control of risks. It involves the identification, analysis and evaluation of the risks, and the development of effective treatments for those risks. It applies to projects of all sizes and levels of complexity.
In dealing with project risk, the team needs to understand the definitions of risk and risk management:
- Risk refers to a likely, future event that will have an impact on objectives
- Risk management is the culture, processes and structures that are directed towards the effective management of potential opportunities and adverse effects.
An important consideration is that risk can be positive. Though some only view risks as negative, a risk event can provide opportunities for improvement.
Effective risk management increases the probability and impact of positive events.
Risk Identification
“The good thing about not planning is that when disaster occurs it comes as a complete surprise and is not preceded by long periods of anxiety”
Project Advantage offer risk management training as part of the Melbourne project management fundamentals training course as well as the integrated five day project management course.