fundamentals of Risk Management in detail.pdf

its on risk management

1. FUNDAMENTAL
OF RISK
MANAGEMENT
PLAN
BY
SURYAANSHSLATHIA

2. CONTENT

3. Introduction
What is Project Risk Management?
•Proactive approach to identifying, assessing, and responding to potential events that could impact
project objectives.
Importance of Proactive Risk Management
•Increases project success rate.
•Improves project predictability and reduces surprises.
•Enables informed decision-making.
"Project Risk is an uncertain event or condition"-
PMBoK Guide

4. Risk
Management
Lifecycle

5. Type Of Risks
TheProject Management Body of Knowledge(PMBOK) sorts project risk into three categories:
Operational Risks:Operational risksare those that relate to the results of the project. Operational risks are more present in the later stages of a
project. Usually, they involve the products or deliverables produced, or the inability to produce them.
Short-Term Strategic Risks:Short-term strategic risksare those that affect project owners during the project’s lifetime and in its immediate
aftermath. They might also affect the people using the project’s results.
Long-Term Strategic Risks:Long-term strategic risksare those that relate to the project’s goals and objectives, as well as the problems it is trying
to solve. Long-term risks may affect users who are far removed from the project’s processes

6. RISK
IDENTIFICATION(1/2
)
•Techniques for Identifying
Risks
•Brainstorming sessions with
project team.
•SWOT Analysis (Strengths,
Weaknesses, Opportunities,
Threats).
•Reviewing historical data
from similar projects.

7. RISKIDENTIFICATION(2/2)

8. RISK ASSESSMENT
Invite questions from the audience.

12. Risk Response Plan :
Risk response plans are aimed at the following targets:
•Eliminating the risk
•Lowering the probability of risk occurrence
•Lowering the impact of the risk on the project objectives

13. Risk Trigger :
•For each risk a trigger must be documented in the risk register.
•The trigger identifies the risk symptoms or warning signs.
•It indicates that a risk has occurred or is about to occur.

14. Risk Response Matrix
Identify which of the standard response approaches best applies to the risk.
It can be categorised in the form of a matrix.

18. RISK MONITORING
AND CONTROL
For all companies and on all projects, risk monitoring and control is a
constant battle and endeavors, and one which can always be improved.
In terms of the theoretical tools which can be used for risk monitoring
and control, we have:
•Risk audits
•Status andsafety meetings
•Risk reassessments
•Variance and trend analysis

19. Risk Register