5 Stages of Project Risk Management Process
The Project Risk Management Process is a high-level process that includes five main sub-phases.: risk management planning, risk identification, quantitative risk analysis, qualitative risk analysis, and risk response planning.
#1 RISK MANAGEMENT PLANNING
Risk management planning as part of the project risk management process has to do with the process of analyzing the entire project and predicting some of the challenges that will be faced when the project eventually commences, It allows the project manager to plan ahead so that these high risks can be mitigated as the project progresses.
#2 RISK IDENTIFICATION
After the Project Manager might have identified the major task ahead of him in terms of planning the project, he has to identify some of the major risks for the project. The Project Manager must look at each of the risks in terms of impact and probability that such risk would happen.
#3 QUALITATIVE RISK ANALYSIS
When a Project Manager performs qualitative risk analysis, he is trying to look at the impact of that impact risk on the entire project, Performing qualitative analysis will allow the Project Manager to know the level of importance that he should attach to a particular project.
#4 QUANTITATIVE RISK ANALYSIS
When it comes to quantitative risk analysis as part of the risk management process, the project manager is more concerned about the figures attached to those risks. The Project Manager might analyse risk and discover that he will need an additional $5,000 to tackle a particular risk.
He might also discover that such risk will increase his project finishing date by one week.
#5 RISK RESPONSE PLANNING
The last part of a project risk management process is project risk response planning. The Project Manager, after having analysed risk based on probability and impact need to plan how he is going to respond to each of the risk identified for the project. He needs to identify risk owners and appoint an individual that will be on the look-out for those risks.
Now your take on this argument.
We would also like to hear what you feel about the topic we discussed today. Your feedback is very important to us. Feel free to drop your comments and recommendations. If you have a contrary opinion, you can drop that too.
You can also join our Facebook Page CRMNigeria for more updates. You can do that by clicking on the link or searching for our page on Facebook.
Click here to Download 5 E-Books that I have taken time to prepare for you.
These E-Books contain formulas that have helped many of my students to nail the PMP Exam at first attempt! You can also make use of this E-Books. If you have any question while using the material, feel free to shoot me a mail. I am committed to assisting you to nail your PMP exam. It’s a pledge. You can always count on me as a friend.
PS: For like seven years since I started blogging I have tried many platforms and tools. Some worked and some of them performed below expectation. Here are some of the tools that I will gladly recommend for you any day, any time.
PS: Click on the link below to sign up for my Online E-Course CRM Training. Make sure you confirm your subscription by clicking on the link sent to you. Thanks.
Adeniyi Salau (CCNA,CDMP, CEP, MOS, MCP, CSCU (Project 2016) is a Google and Beingcert Certified Digital Marketer, Project Manager and SEO Expert of repute with about a decade of Blogging and online marketing experience. He is always ready to share his experience with others.