RISK CONTROL

RISK MANAGEMENT PLANNING Once risks are identify and prioritized, it should be clear which risks the project should handle. For managing risks , proper planning is essential. The main task is to identify the action needed to minimize the risk consequences.This steps are generally called a “risk mitigation steps”. As in risk identification, a list of commonly used risk mitigation steps for various risks is compiled to aid the project leader in selecting a suitable risk mitigation step.

Goal of risk management Once the risk have been identified and prioritized,the question becomes what to do with them? The risk is the value only if we can prepare such that their consequences are minimal-That is the basic goal of risk management. Minimizing the risk effects is done in the second phase of risk management-risk control. This step involves planning of risk matigation , followed by execution of plan and monitoring of the risk.

Top ten risk and their risk mitigation steps Sequence no Risk category Risk Mitigation steps 1 Shortage of technically trained manpower Make estimate with little allowance for initial learning time. Maintain buffers of extra resources. Define a project-specific training program. Conduct cross-training session. 2 Too many requirement changes. Obtain sign-off for initial requirement specification from the client. Convince the client that changes in requirements will affect the schedule. Define procedure to handle requirement changes. Negotiate payment on actual effort.

Top ten risk and their risk mitigation steps Sequence no Risk category Risk Mitigation steps 3 Unclear requirements Use experience and Logic to make some assumption and keep the client informed. Develop a prototype/get the requirements reviewed by the client. 4 Manpower attrition Ensure that multiple resources are assigned on key project areas. Have team building sessions Rotate jobs among team members. Keep extra resources in the project as backup

Top ten risk and their risk mitigation steps Sequence no Risk category Risk Mitigation steps Maintain proper documentation of individual’s work. Follow the configuration management process and guidelines strictly. 5 Externally driven decisions forced on the project Outline disadvantages with supporting facts/data and negotiate with the personnel responsibility for forcing the decision. If inevitable, identify the actual risk and follow its mitigation plan.

Top ten risk and their risk mitigation steps Sequence no Risk category Risk Mitigation steps 6 Not meeting performance requirements Define the performance criteria clearly and get them reviewed by the client. Define standard to be followed to meet the performance criteria. Prepare the design to meet performance criteria and review it. 7 Unrealistic schedule Negotiate for a better schedule. Identify parallel task. Identify areas that can be automated.

Top ten risk and their risk mitigation steps Sequence no Risk category Risk Mitigation steps 8 working on new technology Begin with delivery of critical modules. Include time in the schedule for learning curve. Provide training in the new technology. 9 Insufficient business knowledge increase interaction with the client and ensure adequate knowledge transfer. Organize domain knowledge training.

Top ten risk and their risk mitigation steps Sequence no Risk category Risk Mitigation steps 10 Link failure/slow performance Set proper expectation with client. Plan for optimal link usage.

RISK MONITORING AND TRACKING Risk prioritization and consequent planning are based on the risk perception at the time the risk analysis is performed. The first risk analysis takes place at the time of project planning, and the initial risk management plan reflects the situation as viewed at that time. This dynamism implies that risks in a project should not be treat as static and reevalution of risk needs to be done periodically.

RISK MONITORING AND TRACKING Hence besides monitoring the progress of risk mitigation steps that have been planned , the risk perception for the entire project needs to be revisited periodically. This revision is prepared by doing afresh the risk analysis to determine whether the priority have changed.

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