ABSTRACT
This chapter looks at the risk classification methods, from which selected risks may be used in the risk management process at the appropriate time. Risk classification is an economical way of analyzing risks and their causes by grouping similar risks together into "classes." The classes can be extracted from a large risk database. The internal risks come from risk factors within the organization. The internal risk of residual defects in software has generated many test strategies in software development, ranging from optimal test coverage, and usage-based statistical testing, to say the least. The risk problem is translated into a systems engineering problem. Risk resolution is done through decision analysis and resolution. In a project environment, such as in software development, additional risk arises out of dependencies. The result of several people working on several processes as a networked team is prone to uncertainties.
