Project Risk Management€¦ · PMP® Exam Review Slide # Slide # 6 6 Trends and emerging practices in project communications management Project resilience. The existence of emergent

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Slide # 1© 3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . PMP® Exam Review Slide # 1

A Guide to the

PROJECT MANAGEMENT

BODY OF KNOWLEDGE

(PMBOK ® GUIDE ) – Sixth edition

Project Risk Management

PMBOK is a registered mark of the Project Management Institute, Inc

Slide # 2©3FOLD Education Centre . All rights reserved . [email protected] . www.3foldtraining.com . PMP® Exam Review Slide # 2

Chapter 11

11.1 Develop risk management methodologies.11.2 Identify risks using various tools and techniques.11.3 Evaluate risks using qualitative and quantitative techniques.11.4 Select various risk response techniques.

Learning Objectives

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* Project Risk Management includes the processes of conducting risk management planning, identification, analysis, response planning, response implementation, and monitoring risk on a project.


Key concepts for project risk management

• Individual project risks can have a positive or negative effect on project objectives if they occur.

• Project Risk Management aims to exploit or enhance positive risks (opportunities) while avoiding or mitigating negative risks (threats).

• Unmanaged threats may result in issues or problems such as delay, cost overruns, performance shortfall, or loss of reputation.

• Opportunities that are captured can lead to benefits such as reduced time and cost, improved performance, or reputation.

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Trends and emerging practices in project communications management

Trends and emerging practices for Project Risk Management include but are not limited to:

Non-event risks. Most projects focus only on risks that are uncertain future events that may or may not occur. There is an increasing recognition that non-event risks need to be identified and managed. There are two main types of non-event risks:

• Variability risk. Uncertainty exists about some key characteristics of a planned event or activity or decision. Examples of variability risks include: productivity may be above or below target, the number of errors found during testing may be higher or lower than expected, or unseasonal weather conditions may occur during the construction phase.

• Ambiguity risk. Uncertainty exists about what might happen in the future. Areas of the project where imperfect knowledge might affect the project’s ability to achieve its objectives include: elements of the requirement or technical solution, future developments in regulatory frameworks, or inherent systemic complexity in the project.


Trends and emerging practices in project communications management

Project resilience. The existence of emergent risk is becoming clear, with a growing awareness of so-called unknowable-unknowns. These are risks that can only be recognized after they have occurred.

Integrated risk management. Projects exist in an organizational context, and they may form part of a program or portfolio. Risk exists at each of these levels, and risks should be owned and managed at the appropriate level. Some risks identified at higher levels will be delegated to the project team for management, and some project risks may be escalated to higher levels if they are best managed outside the project.

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Tailoring Considerations

Because each project is unique, it is necessary to tailor the way Project Risk Management processes are applied. Considerations for tailoring include but are not limited to:

1. Project Size2. Project Complexity3. Project Importance4. Development Approach


What is a Risk ?

* An uncertain event or condition that, if it occurs, has a positive or negative effect on one or more project objectives.

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Scope

Schedule

Cost

Quality

Project ObjectivesUncertaintyA state of having limited knowledge where it is impossible to exactly describe the existing state, a future outcome, or more than one possible outcome.

Cause and EffectA risk is triggered by one or more causes and it may have one or more impacts.

The effect can be positive or negative.

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What is Project Risk Management ?

* Project Risk Management includes the processes of conducting risk management planning, identification, analysis, response planning, response implementation, and monitoring risk on a project.

Objective of Project Risk Management

Decrease negative events probability and Impact

Increase positive events probability and Impact


Risk, Uncertainty & Cost of changes

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Known risks

• Identified, analyzed and responses created. (proactive)

• Assign contingency reserve if it can’t be managed proactively.

Unknown risks

• Can’t be managed proactively.

• Requires Management reserve.

Issue – an occurred negative risk


Individual project risks

Overall project risk

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Risk attitude among organization and stakeholders

Risk appetite – the degree of uncertainty an entity is willing to

take on in anticipation of a reward.*

The organization is willing to accept reasonable risk to the cost on this

project.

Risk tolerance – the degree, amount or volume of risk that an

organization or individual will withstand.*

The organization or stakeholder is willing to accept risk of up to 8%

increase in the project cost.

Risk threshold – measures along the level of uncertainty or the level of

impact at which a stakeholder may have specific interest.*

The organization or stakeholder will NOT accept a risk that may increase

the project cost by more than 9%.


“To be successful, an organization should be dedicated to address risk management proactively

and consistently throughout the project.”

Positive and negative risks are commonly known as

opportunities and threats.

Risk Aversion Risk Taker

Project risk could exist

from initiation till closing.

Risk Neutral

KEY

PO

INTS

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Chapter 11

11.1 Plan Risk Management

11.2 Identify Risks

11.3 Perform Qualitative Risk Analysis

11.4 Perform Quantitative Risk Analysis

11.5 Plan Risk Responses

11.6 Implement Risk Responses

11.7 Monitor Risks

Project Risk Management


Process 11.1 Topics covered in this process

11.1 Plan Risk Management

11.1.1 Plan Risk Management: Inputs

11.1.2 Plan Risk Management: Tools and Techniques

11.1.3 Plan Risk Management: Outputs

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11.1 Plan Risk Management. *The process of defining how to conduct risk management activities for a project.


11.1 Plan Risk Management (ITTO)

Project Management Institute, A Guide to the Project Management Body of Knowledge, (PMBOK® Guide) – Sixth Edition, Project Management Institute Inc., 2017, Fig. 11-2, Page 401.

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Inputs

The project charter, depending on the form it takes, may contain initial descriptions and assessments of known or anticipated risks of the project that provide valuable information for the development of the risk management plan.

Project Charter

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The project management plan will be useful as an input into the Plan Risk Management process because risk can occur at any point from any other aspect of the project. Thus, the already-developed subsidiary plans and baselines contained in the project management plan will highlight areas of uncertainty that can be used to develop the risk management plan.

Project Management

Plan

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Inputs

The specific enterprise environmental factor that will be useful as an input into this process is the broader organizational tolerance for risk.Enterprise

Environmental Factors

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The specific organizational process assets that may play an important input in the development of your risk management plan include any templates, processes, or guidelines that the organization has for the development of a risk management plan and managing risk.

Organizational Process Assets

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Stakeholder register can be considered as inputs for this process.

Project Document

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T & T

Utilizing the knowledge and experience of subject matter experts will be invaluable not only in your overall risk management plan, but also in identifying and completing an analysis of risks.

Expert Judgment

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What is it?

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Data analysis techniques that can be used for this process includes but are not limited to a stakeholder analysis (more about this in chapter 13)

Data Analysis

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Plans for conducting risk management activities are defined in these meetings and documented in the risk management plan.Meetings

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Outputs

Risk Management Plan. * A component of the project, program, or portfolio management plan that describes how risk management activities will be structured and performed.

The risk management plan will probably contain information on the following:

• The particular risk methodology and approach to be taken on the project.• The individual roles and responsibilities within the team and the wider

group of stakeholders.• Any approved budgets for managing risk, which should then be included in

the cost performance baseline.• Risk Categories.

Risk Management

Plan

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Description

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Risk Breakdown Structure (RBS). *A hierarchical representation of potential sources of risks.

Project Management Institute, Practice Standard for Project Risk Management – Second Edition, Project Management Institute Inc., 2009, Fig. D7, Page 83.


Example of Definitions for Probability and Impacts


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Probability and Impact Matrix with Scoring Scheme



Activity 11.1

Instruction

Develop risk management methodologies.

Read each item in Activity 11.1 (next page), and mark with a tick (✔) if it can be included in the risk management plan.

Format Individual Exercise

Time Limit 5 Minutes

Discussion 5 Minutes

Learning Outcome

11.1

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11.2 Identify Risks

11.2.1 Identify Risks: Inputs

11.2.2 Identify Risks: Tools and Techniques

11.2.3 Identify Risks: Outputs


11.2 Identify Risks. *The process of identifying individual risks as well as sources of overall risk and documenting their characteristics.

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5 important points to know about Identify Risks

1Risk identification should be performed as early as possible in the project lifecycle.

2Since not all risks can be identified at any given point in the project, it is essential that risk identification is repeated throughout the project life cycle.

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The Identify Risks process should ensure opportunities are properly considered.

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The Identify Risks process should take input from a broad range of project stakeholders to ensure that all perspectives are represented and considered.

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A broad range of sources of risk should be considered to ensure that as many uncertainties as possible that might affect objectives have been identified.


11.2 Identify Risks (ITTO)


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Inputs

Project management plan components include but are not limited to:1. Subsidiary Plans2. Baselines

Project Management

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Assumption log, Cost estimates, Duration estimates, Issue log, Lessons learned register, Requirements documentation, Resource requirements and Stakeholder register.

Project Documents

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Risks can be identified on contracts, acceptance criteria, penalties, etc.Agreements

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Inputs

The specific types of enterprise environmental factors that will be useful in managing project risk are any broader organizational attitude and tolerance for risk, and any external risk standards that the organization is using.

Enterprise Environmental

Factors

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Relevance

The specific types of organizational process assets that will assist in managing project risk are any blank templates, historical information and lessons learned, and any project-specific policies and guidelines relating to risk management.

Organizational Process Assets

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T & T

Detailed Earlier.Expert Judgment

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What is it?

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Data-gathering techniques that can be used for this process include but are not limited to:

1. Brainstorming2. Checklists3. Interviews

Data Gathering

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T & T

Data analysis techniques that can be used for this process include but are not limited to:

1. Root cause analysis2. Assumption and constraint analysis3. SWOT analysis4. Document analysis

Data Analysis

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What is it?

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Example of a Root Cause Analysis



SWOT Analysis

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T & T

Interpersonal and team skills that can be used for this process includes but are not limited to facilitation.Interpersonal

and Team Skills

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What is it?

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Prompt lists are used to help ensure that all aspects are covered when attempting to identify risks. A prompt list categorizes risks into types or areas and is usually specific to a project type and an organization's function. Some common strategic frameworks are more suitable for identifying sources of overall project risk, for example PESTLE (political, economic, social, technological, legal, environmental), TECOP (technical, environmental, commercial, operational, political), or VUCA (volatility, uncertainty, complexity, ambiguity).

Prompt Lists

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Detailed earlier.Meetings

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Outputs

Risk Register. *A repository in which outputs of risk management processes are recorded.

It can include list of identified risks, potential risk owners and list of potential risk responses. The development of the risk register is highly iterative, and the risk register itself should be treated as a live document and reviewed regularly.

It should be reviewed at all levels from testing the assumptions made right through to the qualitative and quantitative analysis applied to the identified risks.

Risk Register

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Description

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Outputs

Risk Report. * A project document developed progressively throughout the Project Risk Management processes, which summarizes information on individual project risks and the level of overall project risk.

Risk Report

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Description

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Project documents that may be updated as a result of this process include but are not limited to:

1. Assumption log2. Issue log3. Lessons learned register

Project Documents

Updates

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Activity 11.2

Instruction

Identify risks using various tools and techniques

Read each scenario and choose an appropriate risk identification technique.




Learning Outcome

11.2 1. Brainstorming2. Checklists3. Interviews4. Root cause analysis5. Assumptions and constraints

analysis6. SWOT analysis7. Document analysis8. Facilitation9. Prompt lists10. Meetings

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11.3 Perform Qualitative Risk Analysis

11.3.1 Perform Qualitative Risk Analysis: Inputs

11.3.2 Perform Qualitative Risk Analysis: Tools and Techniques

11.3.3 Perform Qualitative Risk Analysis: Outputs


11.3 Perform Qualitative Risk Analysis. *The process of prioritizing individual project risks for further analysis or action by assessing their probability of occurrence and impact as well as other characteristics.

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5 important things to know about Perform Qualitative Risk Analysis

1The Perform Qualitative Risk Analysis process assesses and evaluates characteristics of individually identified project risks and prioritizes risks based on agreed-upon characteristics.

2Assessing individual risks using qualitative risk analysis evaluates the probability that each risk will occur and the effect of each individual risk on the project objectives.

3 The process is based on an agreed-upon approach to this assessment that is applied across all of the identified risks in any project.

4 Collection of high-quality information about risks is required.

5The success of qualitative risk analysis is enhanced if the process is used periodically throughout the project.

Project Management Institute, Practice Standard for Risk Management– Second Edition, Project Management Institute Inc., 2019, Page 33.


11.3 Perform Qualitative Risk Analysis (ITTO)


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Inputs

Project management plan components include but are not limited to:1. Risk management planProject

Management Plan

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Key project documents: Assumption log, Risk register and Stakeholder register.Project

Documents

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Detailed EarlierEEFs and OPAs

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T & T

Again the use of expert judgment is an exceptionally good way to bring a robust level of analysis to your Perform Qualitative Risk Analysis process.Expert

Judgment

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What is it?

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Data-gathering techniques that can be used for this process include but are not limited to interviews.Data Gathering

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Data analysis techniques that can be used during this process include but are not limited to:

1. Risk data quality assessment2. Risk probability and Impact assessment3. Assessment of other risk parameters

Data Analysis

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T & T

Risk Data Quality Assessment. * Technique to evaluate the degree to which the data about risks is useful for risk management.Risk data quality

assessment

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What is it?

3.1

A key element when performing any sort of risk assessment is the quality of the information being used. Obviously, if the quality of information being used is poor, your subsequent assessment will be poor.

Risk probability and impact assessment

3.2

The project team may consider other characteristics of risk (in additionto probability and impact) when prioritizing individual project risks for further analysis and action. These characteristics may include but are not limited to: Urgency, Proximity, Dormancy, Manageability, Controllability, Detectability, Connectivity, Strategic Impact and Propinquity.

Assessment of other risk

parameters

3.3



T & T

Interpersonal and team skills that can be used for this process include but are not limited to facilitationInterpersonal

and Team Skills

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What is it?

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Risks to the project can be categorized by sources of risk, the area of the project affected or other useful categories (phase).Risk

Categorization

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Data representation techniques that can be used during this process include but are not limited to:

1. Probability and Impact matrix2. Hierarchical charts (where risks have been categorized using more

than two parameters)

Data Representation

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A bubble chart displaysthree dimensions of data, where each risk is plotted as a disk (bubble), and the three parameters are representedby the x-axis value, the y-axis value, and the bubble size. An example bubble chart is shown with detectability and proximity plotted on the x and y axes, and impact value represented by bubble size.



T & T

To undertake qualitative risk analysis, the project team may conduct a specialized meeting (often called a risk workshop) dedicated to the discussion of identified individual project risks.

Meetings

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What is it?

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Outputs

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Project Document

Updates

1Project documents that may be updated as a result of carrying out this process include but are not limited to:

1. Assumption log2. Issue log3. Risk register4. Risk report



11.4 Perform Quantitative Risk Analysis. *The process of numerically analyzing the combined effect of identified individual project risks and other sources of uncertainty on overall project objectives.

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11.4 Perform Quantitative Risk Analysis

11.4.1 Perform Quantitative Risk Analysis: Inputs

11.4.2 Perform Quantitative Risk Analysis: Tools and Techniques

11.4.3 Perform Quantitative Risk Analysis: Outputs


5 important points to know about Perform Quantitative Risk Analysis

1The Perform Quantitative Risk Analysis process occurs after the Identify Risks and Perform Qualitative Risk Analysis processes have been completed.

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It is generally accepted that analyzing uncertainty in the project using quantitative techniques such as Monte Carlo simulation may provide more realism in the estimate of the overall project cost or schedule.

3 Quantitative method such as Monte Carlo simulation or decision tree analysis that incorporates multiple risks simultaneously in determining overall impact on the overall project objective.

4Results of the quantitative analysis will be compared to the project plan (baseline or current) to give management an estimate of the overall project risk.

5Estimating overall project risk using quantitative methods helps distinguish those projects where quantified risks threaten objectives beyond the tolerance of the stakeholders.

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Comparison of Qualitative and Quantitative Approaches

Project Management Institute, Practice Standard for Project Risk Management – Second Edition, Project Management Institute Inc., 2009, Fig. 7-1, Page 38.


11.4 Perform Quantitative Risk Analysis (ITTO)


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Inputs

Project management plan components include but are not limited to: Risk Management Plan, Scope Baseline, Schedule Baseline and Cost Baseline.

Project Management

Plan

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The following project documents are considered necessary to Perform Quantitative Risk Analysis: assumption log, basis of estimates, cost estimates, cost forecasts, duration estimates, milestone list, resource requirements, risk register, risk report, and schedule forecasts.

Project Documents

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Detailed Earlier.EEFs and OPAs

3 & 4



T & T

Expert judgment is important not only for the quantitative calculations but also for the interpretation of the data produced.Expert

Judgment

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Interviews may be used to generate inputs for the quantitative risk analysis, drawing on inputs that include individual project risks and other sources of uncertainty.

Data Gathering

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Interpersonal and team skills that can be used for this process include but are not limited to facilitation.Interpersonal

and Team Skills

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T & T

Where the duration, cost, or resource requirement for a planned activity is uncertain, the range of possible values can be represented in the model as a probability distribution.

This may take several forms. The most commonly used are triangular, normal, lognormal, beta, uniform, or discrete distributions.

Other sources of uncertainty may also be represented using branches to describe alternative paths through the project such as decision tree analysis.

Representations of uncertainty

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Example Duration Probability Distribution for a Single Activity

Project Management Institute, Practice Standard for Scheduling – Second Edition, Project Management Institute Inc., 2011, Fig. 2-6, Page 17.

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T & T

Data analysis techniques that can be used during this process include but are not limited to:

1. Simulation2. Sensitivity analysis3. Decision tree analysis4. Influence diagrams - *A graphical representation of situations

showing causal influences, time ordering of events, and other relationships among variables and outcomes.

Data analysis techniques

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4.1 Simulation. *An analytical technique that models the combined effect of uncertainties to evaluate their potential impact on objectives.


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4.2 Sensitivity Analysis. * An analysis technique to determine which individual project risks or other sources of uncertainty have the most potential impact on project outcomes, by correlating variations in project outcomes with variations in elements of a quantitative risk analysis model.




4.3 Decision Tree Analysis. * A diagramming and calculation technique for evaluating the implications of a chain of multiple options in the presence of uncertainty.

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Outputs

Project documents that may be updated as a result of carrying out this process include but are not limited to:

1. Assessment of overall project risk exposure

2. Detailed probabilistic analysis of the project

3. Prioritized list of individual project risks

4. Trends in quantitative risk analysis results

5. Recommended risk responses

Project Document

Updates

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Activity 11.3

Instruction

Qualitative vs. Quantitative Techniques

Read each scenario and choose an appropriate risk analysis approach.




Learning Outcome

11.31. Perform qualitative risk analysis2. Perform quantitative risk analysis

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11.5 Plan Risk Responses. *The process of developing options, selecting strategies, and agreeing on actions to address overall project risk exposure, as well as to treat individual project risks.



11.5 Plan Risk Responses

11.5.1 Plan Risk Responses: Inputs

11.5.2 Plan Risk Responses: Tools and Techniques

11.5.3 Plan Risk Responses: Outputs

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Critical Success Factors for the Plan Risk Responses Process

Project Management Institute, Practice Standard for Project Risk Management – Second Edition, Project Management Institute Inc., 2009, Fig. 8-1, Page 44.


11.5 Plan Risk Responses (ITTO)


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Inputs

Project management plan components include but are not limited to:1. Resource management plan2. Risk management plan3. Cost baseline

Project Management

Plan

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Lessons learned register, project schedule, project team assignments, resource calendars, risk register, risk report and stakeholder register.Project

Documents

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Detailed Earlier.EEFs and OPAs

3 & 4



T & T

Given the complexity of executing a well-defined series of planned risk responses, it is prudent to use expert judgment as a tool in developing your risk responses.

Expert Judgment

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What is it?

1

Data-gathering techniques that can be used for this process include but are not limited to interviews.Data Gathering

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Interpersonal and team skills that can be used for this process includes but are not limited to facilitation.Interpersonal

and Team Skills

3


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T & T

Five alternative strategies may be considered for dealing with threats, as follows:

1. Escalate2. Avoid3. Transfer4. Mitigate5. Accept

Strategies for Threats

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What is it?

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T & T

Escalation is appropriate when the project team or the project sponsor agrees that a threat is outside the scope of the project or that the proposed response would exceed the project manager’s authority. Escalated risks are managed at the program level, portfolio level, or other relevant part of the organization, and not on the project level.

Escalate

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What is it?

4.1

Risk avoidance is when the project team acts to eliminate the threat or protect the project from its impact. It may be appropriate for high-priority threats with a high probability of occurrence and a large negative impact.

Examples of avoidance actions may include removing the cause of a threat, extending the schedule, changing the project strategy, or reducing scope.

Avoid

4.2


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T & T

Transfer involves shifting ownership of a threat to a third party to manage the risk and to bear the impact if the threat occurs. Risk transfer often involves payment of a risk premium to the party taking on the threat. Transfer can be achieved by a range of actions, which include but are not limited to the use of insurance, performance bonds, warranties, guarantees, etc.

Transfer

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What is it?

4.3

In risk mitigation, action is taken to reduce the probability of occurrence and/or impact of a threat. Early mitigation action is often more effective than trying to repair the damage after the threat has occurred. Adopting less complex processes, conducting more tests, or choosing a more stable seller are examples of mitigation actions.

Mitigate

4.4



T & T

Risk acceptance acknowledges the existence of a threat, but no proactive action is taken. This strategy may be appropriate for low-priority threats, and it may also be adopted where it is not possible or cost-effective to address a threat in any other way.

Acceptance can be either active or passive.

The most common active acceptance strategy is to establish a contingency reserve, including amounts of time, money, or resources to handle the threat if it occurs.

Passive acceptance involves no proactive action apart from periodic review of the threat to ensure that it does not change significantly.

Accept

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What is it?

4.5


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T & T

Five alternative strategies may be considered for dealing with opportunities, as follows:

1. Escalate2. Exploit3. Share4. Enhance5. Accept

Strategies for Opportunities

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What is it?

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T & T

Escalated opportunities are managed at the program level, portfolio level, or other relevant part of the organization, and not on the project level.

Escalate

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What is it?

5.1

The exploit strategy may be selected for high-priority opportunities where the organization wants to ensure that the opportunity is realized.

Examples of exploiting responses may include assigning an organization’s most talented resources to the project to reducethe time to completion, or using new technologies or technology upgrades to reduce cost and duration.

Exploit

5.2


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T & T

Sharing involves transferring ownership of an opportunity to a third party so that it shares some of the benefit if the opportunity occurs. Risk sharing often involves payment of a risk premium to the party taking on the opportunity.

Examples of sharing actions include forming risk-sharing partnerships, teams, special-purpose companies, or joint ventures.

Share

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What is it?

5.3

The enhance strategy is used to increase the probability and/or impact of an opportunity.

Examples of enhancing opportunities include adding more resourcesto an activity to finish early.

Enhance

5.4



T & T

Accepting an opportunity acknowledges its existence but no proactive action is taken.

This strategy may be appropriate for low-priority opportunities, and it may also be adopted where it is not possible or cost-effective to address an opportunity in any other way.

Accept

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What is it?

5.5


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T & T

* Responses provided which may be used in the event that a specific trigger occurs. Contingent

Response Strategies

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What is it?

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Risk responses should be planned and implemented not only for individual project risks but also to address overall project risk. The same risk response strategies that are used to deal with individual project risks can also be applied to overall project risk:1. Avoid2. Exploit3. Transfer/Share4. Mitigate/Enhance5. Accept

Strategies for overall project

risk

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T & T

A number of alternative risk response strategies may be considered. Data analysis techniques that can be used to select a preferred risk response strategy include but are not limited to:

1. Alternatives analysis2. Cost-benefit analysis

Data Analysis

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What is it?

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Decision-making techniques that can be used to select a risk response strategy include but are not limited to multicriteria decision analysis.Decision Making

9

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Outputs

Planned risk responses may result in a change request to the cost and schedulebaselines or other components of the project management plan.

Change Requests

11

.5 P

lan

Ris

k R

esp

on

ses:

Ou

tpu

ts

Description

1

Detailed Earlier.

Project Management Plan Updates

2

Detailed Earlier.

Project Documents

Updates

3



Activity 11.4

Instruction

Risk response techniques

Select a suitable risk response techniques based on the given scenario.




Learning Outcome

11.4Threats – Escalate, Avoid, Transfer, Mitigate, Accept

Opportunities – Escalate, Exploit, Share, Enhance, Accept

43


11.6 Implement Risk Responses. *The process of implementing agreed-upon risk response plans.


11.6 Implement Risk Responses (ITTO)


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Inputs

Project management plan components include but are not limited to the risk management plan.Project

Management Plan

11

.6 Im

ple

me

nt

Ris

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esp

on

ses

-In

pu

ts

Relevance

Lessons learned register, risk register and risk report.Project

Documents

1

2

Detailed earlier.Organizational Process Assets

3



T & T

Expertise should be considered from individuals or groups with specialized knowledge to validate or modify risk responses if necessary, and decide how to implement them in the most efficient and effective manner.

Expert Judgment

11

.6 Im

ple

me

nt

Ris

k R

esp

on

ses –

T &

T

What is it?

1

Interpersonal and team skills that can be used for this process include but are not limited to influencing.Interpersonal

and team skills

2

Detailed Earlier.PMIS

3


45


Outputs

Implementation of risk responses may result in a change request to the cost and schedule baselines or other components of the project management plan.Change

Requests

11

.6 Im

ple

me

nt

Ris

k R

esp

on

ses

-O

utp

uts

Description

1

Project documents that may be updated as a result of carrying out this process include but are not limited to: issue log, lessons learned register, project team assignments, risk register, and risk report.

Project Documents

Updates

2



11.7 Monitor Risks. *The process of monitoring the implementation of agreed-upon risk response plans, tracking identified risks, identifying and analyzing new risks, and evaluating risk process effectiveness throughout the project.

46



11.7 Monitor Risks

11.7.1 Monitor Risks: Inputs

11.7.2 Monitor Risks: Tools and Techniques

11.7.3 Monitor Risks: Outputs


11.7 Monitor Risks (ITTO)


47


Inputs

Project management plan components include but are not limited to the risk management plan.Project

Management Plan

11

.7 M

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isks

: In

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ts

Relevance

The following project documents are considered necessary to Monitor Risks but not limited to:

1. Issue log2. Lessons learned register3. Risk register4. Risk report

Project Documents

1

2



Inputs

Work performance reports provide information from performance measurements that can be analyzed to provide project work performance information including variance analysis, earned value data, and forecasting data. This information could be relevant when monitoring performance-related risks.

Work Performance

Reports

11

.7 M

on

ito

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isks

: In

pu

ts

Relevance

4

Work performance data contains data on project status such as risk responses that have been implemented, risks that have occurred, risks that are active and those that have been closed out.

Work Performance

Data

3


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T & T

Data analysis techniques that can be used for this process include but are not limited to:

1. Technical performance analysis - Technical performance analysis compares technical accomplishments during project execution to the schedule of technical achievement.

2. Reserve analysis - Throughout execution of the project, some individual project risks may occur with positive or negative impacts on budget or schedule contingency reserves.

Data Analysis

11

.7 M

on

ito

r R

isks

: T &

T

What is it?

1



T & T

Risk audits are a type of audit that may be used to consider the effectiveness of the risk management process. The project manager is responsible for ensuring that risk audits are performed at an appropriate frequency, as defined in the project’s risk management plan.

Audits

11

.7 M

on

ito

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isks

: T &

T

What is it?

2


Meetings that can be used during this process include but are not limited to risk reviews.Meetings

3

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Outputs

Work performance information includes information on how project risk management is performing by comparing the individual risks that have occurred with the expectation of how they would occur.

Work Performance Information

11

.7 M

on

ito

r R

isks

: Ou

tpu

ts

Description

1

Change Requests

2The Monitor Risks process may result in a change request to the cost and schedule baselines or other components of the project management plan.

Project Management Plan Updates

3Any change to the project management plan goes through the organization’s change control process via a change request.



Outputs

Assumption log, issue log, lessons learned register, risk register and risk report might be updated.Project

Document Updates

11

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on

ito

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tpu

ts

Description

4

OPA updates

5Detailed earlier


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END OF Seminar