7 steps to a risk management program

"Risk management" means the identification, analysis and management of uncertainties in a project. International Organization for Standardization (ISO) concludes that risk management should create value, be part of decision making, be systematic, structured and specific to a project, be transparent, based on accurate information, taking into account the human factor and respond to changes.

Projecttimes.com summarized how to build an effective risk management program.

  1. Use risk management as a primary (day-to-day) part of the project.

  2. Identify any possible risks of the project (both negative and positive) as soon as possible.

  3. Combine individual risks to individual people who will bear responsibility for them.

  4. Evaluate the potential risks and setting priorities.

  5. Analyze priority risks in terms of their impact and likelihood.

  6. Manage risk - plan and implement solutions to individual risks. Prepare several alternative solutions for the largest risks.

  7. Build a register of risks which will allow you to monitor the progress of the project and remind the individual risks.

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Article source Project Times - a US website and community focused on project management
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