Risk is an integrating function because it combines so many factors that determine project success, including time, cost, quality, decision options, commercial value, contingency, risk-based scheduling, and planning process.
Define risk process. The risk process involves the identification, assessment, qualitative and quantitative analysis, and response to risk in projects.
Familiarity with risk tools. Risk tools include the risk matrix (embodies task, risk, impact, probability, severity, and contingency actions), risk-based scheduling, decision analysis, and probability analysis.
Risk-based scheduling. In MS Project, for any given project or task, risk-based scheduling takes the project manager's three estimated task duration scenarios based on risk analysis—expected, optimistic, and pessimistic— gives weights to them and then calculates a new task duration based on the estimates and weights.
Schedule risk analysis. Reviews risk events with schedule impacts in terms of root causes and contingencies.
Definition of low, medium, high risk. Subjective ranking based on low, not requiring any contingency; medium, requiring a contingency but not the insertion of the contingency into the project schedule; and high, anticipated major impact requiring the integration of contingency actions into the project schedule.
Mitigation techniques. These are actions to prevent or offset anticipated risk events. Mitigation, or control tasks, require the development of alternative actions.
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What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.