The Risk Management Process

This chapters describes a five-step process for managing project risk. First phase is that most risk management processes start with a planning step. The purpose of the second phase of the risk management process is to develop drivers for each risk event and its impact. Drivers are existing facts in the project environment that lead one to believe that a particular risk event or impact could occur. The purpose of the third phase of the risk management process is to cull from the people long list of risks a short list that will be managed actively. The purpose of the fourth step of the risk management process is to develop an action plan for each risk that the people have decided to manage. This last step of the risk management process is monitoring project risks.