PROJECT RISK MANAGEMENT APPROACHThere are many approaches to project risk management plan but the purpose of the Risk Management Plan is to identify the risks that can be defined at any stage of the project life cycle. Risk management takes a project throughout the phases of risk identification, risk assessment and risk resolution. It also defines how a project team will handle risks to achieve that goal.
Impact of risk: Risk can have either a positive or negative impact on project objectives. Some risks could, if they arise, have terrible impacts to the project. But some risks actually open up many invisible opportunities. For example, a positive risk might be that your servers because demand suddenly sharp for your project. That’s a good problem to have.
Potential risks include the following:• Technical• Cost• Schedule• Client• Weather• Financial• Political• Environmental• PeopleThe project manager chaired the risk assessment meeting and distributed notepads to each member of the team and allowed for sometime for all team members to record as many risks as possible. They will monitor the risks by • Expert Interview• Risk Assessment Meeting• Historical Review of Similar ProjectsRisk responses:1.Avoid: Risk can be stayed away from through execution of task in various path or by disposing of the reason for chance.2.Transfer: It includes exchanging the risk to outsider (third party) who will assume the liability.3.Mitigate: Mitigate involve the process to reduce the probability or impact of risk.4.Accept: This procedure is connected when there is no any method to for all intents and purposes kill or react to chance.Tracking of risk• Bi-weekly project team meeting• The Risk Database