ABSTRACT
The steps for a new risk are simply a condensed version of those conducted initially and already. Initially all project risks were analyzed in a rather large, formal workshop setting. For a new risk, the people instead employ a small, cross-functional that works informally. It is important to use a cross-functional group to overcome the biases and blind spots that an individual is likely to possess. The objective of a project risk management program is usually to eliminate project schedule and budget overruns, because other difficulties, such as product quality, performance, or cost problems ultimately result in schedule or budget problems. Two strategic metrics measure the effectiveness of project risk management program. The first is risks identified and averted due to risk management. The other strategic project risk metric—probably the more valuable one—is risks that went unidentified but later occurred.
