PRMC allocation

As noted in Chapter 2, the allocate stage involves decisions about project organization, identification of appropriate participants, and allocation of tasks between them. From a corporate perspective, responsibility needs to be clearly allocated for:

• development of RMP documentation and guidelines;

• implementation of RMPs;

• monitoring compliance with guidelines and the effectiveness of RMPs.

A key aspect is the choice of roles allocated to corporate and business unit 'risk officers', project managers, support function managers, risk analysts, internal audit, and other specific functional areas.

Most organizations introduce project RMPs using a 'risk analyst' ('riskateer' is a term some prefer) who may be an external consultant, an internal consultant, or a member of the project team who has undertaken some form of training or self-study programme on risk management. A sizeable team of analysts may be involved, or the part-time efforts of a single individual. Most organizations with mature RMPs maintain a risk analysis team. In large organizations this team may be dedicated to project risk management. In small organizations this 'team' may be a single individual with other responsibilities. Even a very small organization needs somebody to act as the repository of risk management skills and facilitate formal risk management.

This team or individual may undertake risk analysis for individual project managers. However, they should not be regarded as risk managers, since proper integration of project risk management and project management more generally requires that the project manager take personal responsibility for all risk not explicitly delegated to managers of components of the project.

The provision of analytical support, while useful, is only part of institutionalizing RMPs. There is an additional need to ensure widespread, effective application of risk management guidelines, to monitor the quality of RMP applications, and to ensure that risk management experience is captured and used to improve risk management in subsequent projects.

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