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C722 - module 20
Project Management
Term | Definition |
---|---|
risk | any uncertainty in an event or condition that may impact the project |
risk appetite | the degree of uncertainty an entity is willing to take on in anticipation of a reward |
risk tolerance | the degree, amount, or volume of risk that an organization or individual will withstand |
risk threshold | refers to measurements along the level of uncertainty or the level of impact at which a stakeholder may have a specific interest |
risk management | is the proactive planning for risk and opportunities that occur at most steps of the project management process from the time you define the project and create the charter to all the project management planning through execution of the project |
risk responses | avoidance, mitigation, transfer, acceptance |
avoidance | During the planning, the team identifies the risk and sets a path to avoid the risk |
mitigation | is when the team acts in some fashion to reduce the impact or likelihood of the risk occurring |
transfer | transfer them to somewhere or someone else |
acceptance | simply accept the risk and costs involved |
opportunity management | acceptance, enhancing the opportunity, sharing the opportunity |
acceptance | of the opportunity is a given. Should it happen, you will welcome it and use the benefits to your advantage |
enhancing the opportunity | would be worthy of an investment if you think you can take action to make certain the opportunity happens |
sharing the opportunity | with your partners will help everyone to benefit from opportunity. |
risk categories | organization, external, technical |
organization | resources, funding, priorities, competition with other projects, and reliance or dependencies on other actions in the organization. |
external | partners or contractors, regulation or government, competitive market influences, customer expectations and availability, environmental factors such as weather, etc |
technical | technology availability and cost, complexity of the technical requirements, performance and reliability, quality, project requirements, costs, etc |
risk register | lists all risks (external, technical, or organizational) and assigns scores for probability and severity |
Probability Severity (P*S) score | helps you prioritize the risks appropriately |