Lesson 7 Risk Management Exercises 2 and 3 Instructions and Templates

Risk Analysis Exercise 2 JRATS Risk Analysis TASK: Assume the risk you identified in Exercise 1 has a 50% chance of occurring. You will need to identify the consequence level (either cost, schedule, or technical performance) based on your experience and given the chart below. Using the legends below place the risk in the appropriate location on the Risk Matrix Template on Chart 4 Go To the next slide

Exercise 2: Risk Matrix Template Directions: Write your risk statement: Based on the risk’s likelihood and your analysis of its consequence, place the Wedge (your team/risk number) in the appropriate box on the risk cube Identify whether it is predominantly a Cost, Schedule, or Performance Risk. Explain/brief your assessment Write risk statement here 1 5 4 3 2 1 2 3 4 5 Probability/Likelihood C S P P 1 Example: = Risk 1 / Performance Risk 1 2 3 4 5 Consequence

Risk Exercise 3 Step 1: Using your risk statement from Exercise 1 and your risk matrix from Exercise 2, identify detailed steps (template available at chart 5) that will drive risk to an acceptable level given program constraints and objectives Step 2. Using the template on chart 6 develop the “Waterfall Chart” showing how you will burn down the risk. Step 3: Adjust Risk Matrix Expectation (template at chart 7) consistent with Mitigation Planning From Exercise 1 From Exercise 2 Action Who What When 1 2 3 4 Chart 5 Chart 6 Chart 77

Burn Down Actions Template When? Who? Funding? 1. 2. 3. 4. 5. 6. 7. 8. 9. Action

Burn Down Template HIGH MED-HIGH Calendar Months LOW-MED 1 Current Assessment: 2 3 1 2 3 4 5 6 7 8 9 10 11 12 n 4 TIME NOW LOW Place actions on Burn Down Chart consistent with Mitigation Planning

Risk Matrix Template # # Adjust Risk Matrix Expectation consistent with Mitigation Planning