Risk

What are other risk parameters?

(Tool/Technique) Other characteristics or risk, other than probability and impact: - Urgency - Proximity - Dormancy - Manageability - Controllability - Detectability - Connectivity - Strategic impact - Propinquity

What is a risk data quality assessment?

(Tool/Technique) Technique to evaluate the degree to which the data about risks is useful for risk management.

What is the risk management plan?

(inout/output) A component of the project, program, or portfolio management plan that describes how risk management activities will be structures and performed.

What is the risk register?

(inout/output) A repository in which outputs of risk management processes are recorded.

What is a risk report?

(input/output) A project document progressively through the project risk management processes, which summarizes information on individual project risks and the level of overall project risk.

Describe the Performance Qualitative Risk Analysis process

- Process Group: Planning - Knowledge Area: Project Risk Management ( 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.) Key outputs: none

describe the Plan Risk Management process

- Process Group: Planning - Knowledge Area: Project Risk Management ( The process of defining how to conduct risk management activities for a project.) - Key outputs: Risk Management plan

Describe the Performance Quantitative Risk Analysis process

- Process Group: Planning - Knowledge Area: Project Risk Management ( The process of numerically analyzing the combined effect of identified individual project risks and other sources of uncertainty on overall project objectives.) - Key outputs: none

What is risk attitude?

A chosen mental disposition towards uncertainty, adopted explicitly or implicitly by individuals and groups, driven by perception, and evidenced by observable behavior.

What is risk tolerance>?

A measure of the level of risk exposure above which action must be taken to address risks proactively, and below which risks may be accepted.

What are probability distributions?

(Tool/Technique) Graphical representations of the uncertainty in values such as durations of schedule activities and cost of project components. -uniform distribution -normal (Gaussian) distribution -Log-normal distribution

What is a risk reassessment?

(Tool/Technique) Regularly scheduled monitoring that may result in identification of new risks, reassessment of current risks and closing of risks that are outdated.

What is an assumption?

(Tool/Technique) A factor in the planning process that is considered to be true, real, or certain, without proof or demonstration.

What is a probability and impact matrix?

(Tool/Technique) A grid for mapping the probability of occurrence of each risk and its impact on project objectives if that risk occurs.

What is a risk category?

(Tool/Technique) A group of potential causes of risk.

What are prompt lists?

(Tool/Technique) A predetermined list of risk categories that might give rise to individual project risks and that could also act as sources of overall project risk.

What us active risk acceptance?

(Tool/Technique) A risk response planning technique that the project team has decided not to change the project management plan to deal with a risk, or is unable to identify any other suitable response strategy, however contingency allocation is made in the terms of time or funding.

What is risk transference?

(Tool/Technique) A risk response strategy whereby the project team shifts the impact of a threat to a third party, together with ownership of the response.

What is an expected monetary value (EMV) analysis?

(Tool/Technique) A statistical technique that calculates the average outcome when the future includes scenarios that may or may not happen. Commonly used with a decision tree.

What is a Monte Carlo simulation?

(Tool/Technique) An analysis technique where a computer model is iterated many times, with the input values chosen at random from each iteration driven by the input data, including probability distributions and probabilistic branches. Outputs are generated to represent the range of possible outcomes for the project.

What is a sensitivity analysis?

(Tool/Technique) An analytical 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. Ex. Tornado diagram

What is a SWOT analysis?

(Tool/Technique) Analysis of strengths, weaknesses, opportunities, and threats of an organization, project, or option.

What is a risk urgency assessments?

(Tool/Technique) Evaluation of urgency in addressing identified risks to determine which risks need to be addresses in the near-term.

What is risk-tolerance?

A stakeholder who is reasonably comfortable with most uncertainty, accepting that it is a normal feature of business. Potentially the most dangerous of the risk attitudes as the fail to appreciate the implications of risk in the project.

What is risk-averse?

A stakeholder who is uncomfortable with uncertainty and has a low tolerance for ambiguity. Tends to overestimate threats and underestimates opportunities.

What is risk-seeking?

A stakeholder with a casual approach toward threats who actively pursues overestimated opportunities.

What is residual risk?

A risk that remains after risk responses have been implemented.

What is a threat?

A risk that would have a negative-effect on one or more project objectives.

What is an opportunity?

A risk that would have a positive effect on one or more project objectives.

What is risk escalation?

(Tool/ Technique) A risk response strategy whereby the team acknowledges that a risk is outside of its sphere of influence and shifts the ownership of the risk to a higher level of the organization where it is more effectively managed.

What is risk probability and impact assessment?

(Tool/ Technique) Evaluates the likelihood that a specific risk will occur while an impact assessment evaluates the potential effect on a project objectives such as time, cost, scope, or quality.

What is risk avoidance?

(Tool/Technique) A risk response strategy whereby the project team acts to eliminate the threat or protect the project from its impact.

What is a decision tree analysis?

(Tool/Technique) A diagramming and calculation technique for evaluating the implications of a chain of multiple options in the presence of uncertainty.

What is an influence diagram?

(Tool/Technique) A graphical representation of situations showing casual influences,. time ordering or events, and other relationships among variables and outcomes.

What is passive risk acceptance?

(Tool/Technique) A risk response planning technique that indicates that the project team has decided not to change the project management plan to deal with a risk, or is unable to identify any other suitable response strategy.

What is risk exploitation?

(Tool/Technique) A risk response planning technique that involves changing the project plan to ensure realization of an opportunity.

What is risk enhancement?

(Tool/Technique) A risk response planning technique that involves changing the project plan to improve the probability of an opportunity occurring.

What is risk sharing?

(Tool/Technique) A risk response planning technique that involves with another team or organization to improve the probability of realizing an opportunity.

What is risk mitigation?

(Tool/Technique) A risk response strategy whereby the project team acts to decreases the probability or occurrence or impact of a threat.

What is a checklist analysis?

(Tool/Technique) A technique for systematically reviewing materials using a list for accuracy and completeness.

What are the audits?

(Tool/Technique) A type of audit used to consider the effectiveness of the risk management process.

Describe the Plan Risk Responses process

- Process Group: Planning - Knowledge Area: Project Risk Management ( The process of defining how to conduct risk management activities for a project.) - Key outputs: none

What are the strategic for positive risks?

- Escalating - Exploiting - Sharing - Enhancing - Acceptance

What are the strategies for negative risks?

- Escalation - Avoidance - Acceptance - Transference - Mitigation

Describe the Implement Risks Responses process

- Planning Group: Executing - Knowledge Area: Project Risk Management (The process of implementing agreed-upon risk response plan) - Key outputs: none

Describe the Monitor Risk process

- Process Group: Monitoring and Controlling - Knowledge Area: Project Risk Management ( The process of monitoring the implementation of agree-upon risk response plans, tracking identified risks, identifying and analyzing new risks, and evaluating risk process effectiveness throughout the project - Key output: none

Describe the Identify Risks process

- Process Group: Planning - Knowledge Area: Project Risk Management ( The process of identifying individual risks as well as sources of overall risk and documenting their characteristics.) - Key outputs: Risk register, risk report

What is a workaround?

A response to a negative risk that has occurred. Distinguished from a contingency plan in that a workaround is not planned in advance of the occurrence of the risk plan.

What is a secondary risk?

A risk that arises as a directed as a direct result of implementing a risk response.

What is a trigger condition?

An event or situation that indicates that a risk is about to occur.

What is a project risk?

An uncertain event or condition that, if it occurs, has a positive or negative effort on a project's objectives.

What is a fallback plan?

Fallback plans include an alternative set of actions and tasks available in the event that the primary plan needs to be abandoned because of issues, risks, or other causes.

What is risk-neutral?

Sees present risk-taking as a price worth paying for future pay-offs. The most mature of the risk attitudes.