Project Risk Management

Risk Identification: The process of recognizing potential risks and threats to a project before they happen.

Risk Assessment: The process of evaluating the probability and impact of identified risks on a project.

Risk Mitigation: The process of taking actions to reduce the probability or impact of risks.

Risk Monitoring: The process of regularly tracking and assessing identified risks to identify new risks, changing risks, and project progress.

Risk Response: The process of developing a plan for how to deal with identified risks when they occur.

Risk Reporting: The process of communicating with project stakeholders about risks, potential impacts, and progress in mitigating risks.

Risk Ownership: The assignment of responsibility for specific risks to individuals or groups within the project team.

Risk Tolerance: The level of risk that stakeholders are willing to accept in a project.

Contingency Planning: Creating a plan for what actions to take if certain risks actually occur.

Risk Budgeting: Allocating funds to deal with identified risks and potential unforeseen events.

Risk Transfer: The process of passing accepted risks onto a third party, such as an insurance company or subcontractor.

Risk Acceptance: The process of accepting risks which cannot be reduced, transferred or avoided.

Risk Avoidance: The process of eliminating activities or decisions that create high-risk situations.

Risk Communication: The process of exchanging information about risks among stakeholders with different interest and expectation.

Lessons Learned: Identifying risk management weaknesses and strengths from the successes and failures of previous projects.

Identification Risk Management: This involves identifying potential risks and hazards that may arise in the course of a project.

Assessment Risk Management: Ensuring that the probability of risk occurrence and the potential impact of the risk is identified and assessed.

Mitigation Risk Management: This is about putting measures in place to reduce the probability of identified risks occurring, as well as reducing the potential impact of the risk.

Response Planning Risk Management: This involves developing plans and strategies to respond to identified risks if they occur—having a well-documented communication plan, contingency plan, and a risk response plan.

Monitoring and Control Risk Management: This involves continuous monitoring of the project and assessing for any potential risks that may arise and necessitate the activation of response plans.

Preparation Risk Management: This involves being prepared for any potential risks happening, by preparing resources, equipment, personnel, financial reserve etc.

Risk Assessment Risk Management: This involves analyzing and evaluating risks involved in the project and deciding if they’re acceptable or if they need to be managed.

Communication Risk Management: This involves effective communication with all the stakeholders involved in a project, i.e. informing everyone about the risks and how they are being managed.

Internal Risk Management: This involves managing risks that are specific to certain internal operations, personnel management, and so on.

External Risk Management: This involves managing risks that are external to the organization, such as regulatory risks, market risks, compliance risks, environmental risks, etc.