The Risk Management Plan describes how risk management will be structured & performed on the project. Download a free template to use it in creating a risk management plan
The Risk Management Plan comprises four sections of risk assessment:
The frequency of iterations & who participates in each cycle will vary from case to case. The project team is involved in this process to develop & maintain a sense of ownership of, and responsibility for, risks and associated risk response strategy.
The Risk Identification process in risk management plan leads to one of the two main segments of the Risk Analysis section.
It includes methods for prioritizing the identified risks for further action, such as Quantitative Risk Analysis or Risk Response Planning.
Qualitative Risk Analysis assesses the priority of risks by using their probability of occurring, corresponding impact on project objectives if the risks do occur, as well as other factors such as the time frame & risk tolerance of the project constraints of scope, schedule, budget, and quality.
tracks identified risks, monitors residual risks, and identifies new risks, ensuring the execution of risk plans & evaluating their effectiveness in reducing risk. Risk Monitoring & Control is an ongoing process for the life of the project.