6.8. Chapter Summary

Risk management is the process of identifying and managing risks of the project. In other words, identify “What could go wrong?”  Risk Management Planning has a significant impact on being able to anticipate risk and create a contingency plan. Developing Risk Assessments helps the team assess each risk and the probability (likelihood) and impact of whether the event will happen. The team can develop a Risk Response Plan that helps to reduce the impact of unexpected events by avoiding, accepting, mitigating or transferring/sharing the risk. The Project Manager must monitor the Risk Plan throughout the project and act on any changes. Human Resources may be involved with the project team to develop the Risk Management Plan from beginning to end and help the team facilitate the process. Risks can happen at the beginning, in the middle, or at the end of the project.