1. Project Management Office (PMO) Technical Risk Workshop Wendy Collidge

2. Risk Management Risks are assigned to owners, not just placed against a project u Risk Workshops are held very early in the project lifecycle u Project Board sets the risk tolerance levels u Risks must be monitored by their assigned owner u Visibility of risks is maintained in highlight reports to the board u Lack of risk management contributes highly to project failure Risk Management

3. Steps: 1. List our risks 2. Profile the risks 3. Set tolerance levels 4. Assign Ownership 5. Identify risk action Risk Management

4. 1. List Risks IDRiskProbability 1=low 4=high Impact 1=low 4=high OwnerAction 1 Risk Management 1.List Risks 2.Profile Risks 3.Set Tolerance Levels 4.Assign Ownership 5.Identify Actions

5. Risk Profile / Tolerance High 4 Medium 3 Average 2 Low 1 Low 1 Average 2 Medium 3 High 4 Probability Impact Risk tolerance line Enter Risk ID’s Risk Management 1.List Risks 2.Profile Risks 3.Set Tolerance Levels 4.Assign Ownership 5.Identify Actions

6. Must be assigned to an individual that can affect their outcome Risks above the tolerance line must be assigned to a Project Board member Project Board members may delegate ownership but still remain accountable 4. Assign Ownership Risk Management 1.List Risks 2.Profile Risks 3.Set Tolerance Levels 4.Assign Ownership 5.Identify Actions

7. There are 5 types of action: 1. Acceptance: no specific course of action can be taken, most common 2. Contingency: a strategy can be put in place in case the risk occurs 3. Prevention: a course of action can be taken to avoid risk 4. Reduction: a course of action can be taken to minimise risk 5. Transference: the risk is transferred to a third party i.e. insurance policy for the building being knocked down.

8. Definitions: Risks & Issues Risk: Is any uncertainty of outcome that could potentially occur on a project (whether positive opportunity or negative threat). Risks are usually areas of the project that we have no real control over and hence risk management at the project level focuses on keeping unwanted outcomes to an acceptable minimum Issue: An issue is anything that has to be brought to the attention of the project and requires an answer. Issues differ from project risks in the sense that they are actually occurring and need active management and resolution as opposed to precautions to avoid them happening. Project risks can become issues if the risk actually occurs and needs active management to be resolved

9. Problems - another term for project issues. Actual Problem: Is any issue identified by a member of the project team in the current reporting period that requires action to resolve immediately. Potential Problem: Is an issue that may or may not occur, but which you can control if it does. If it does occur, it will be managed and resolved promptly as an issue e.g. a team member’s PC making a strange noise which could lead to it breaking down. If it does breakdown, it can simply be replaced without disruption to the project. This is different to a risk which would have a significant impact on a project if it were to occur