PMBok 7th Risk Management : Risk Strategy and Planning

PMBok 7th Risk Management : Risk Strategy and Planning

• Task 1 : Perform a preliminary document analysis
  • Gather and review documents
    • Give examples of preliminary documents to review prior to risk identification
    • Preliminary documents
      • Industry benchmarks (if available)
      • Previous lessons learned
      • Historical data
      • And the sources of the above information.
  • Determine and assign who is responsible for the preliminary document analysis
    • e.g.
      • Project manager
      • Risk manager
      • Financial controller
    • Other
  • Establish documents relevant to the risk process
• Task 2 : Assess project environment for threats and opportunities
  • Determine which OPA / EEF / project methodology is needed
    e.g.
    Waterfall
    Agile
    Hybrid
    Other approach
  • Analyze the different environmental factors (EEF) to be considered in the planning phase
    • e.g.
      • PESTLE analysis
      • SWOT analysis
    • Other analysis
  • Determine the organizational and cultural risk appetite
    • Analyze environment for risk culture maturity
  • Evaluate the project management information system process and data
  • Conduct a stakeholder analysis
  • Analyze constraints to risk management
    • Government
    • Market laws/rules
    • Organizational risks
    • Environmental risks
    • Technical risks
    • Other risks
  • Focus stakeholders on creating a culture of risk awareness
  • Determine business driver of project, including key assumptions, benefits, and materialization of project.
• Task 3 : Confirm risk thresholds based on risk appetites
  • Align project risk thresholds to organizational risk appetite
  • Calculate the risk the organization can absorb
    • e.g.
      • Financial
      • Environmental
      • Technical
      • Legal
      • Scope
      • Schedule
      • Quality
      • Contract
      • etc
  • Discuss risk thresholds
  • Lead conflict resolutions between stakeholders in agreeing on risk appetite
• Task 4 : Establish risk management strategy
  • Establish risk processes and tools
  • Provide risk management templates/forms
  • Determine risk metrics
  • Identify risk categories
  • Coach/mentor team on risk management best practices (servant leadership)
  • Lead stakeholders to adopt the risk strategy
• Task 5 : Document the risk management plan
  • Define organizational risk roles and responsibilities
    • Align roles and responsibilities with a project RAM
      • RACI chart
      • Other charts
  • Prepare a list of the key artifacts/resources that will be used to compile a risk management plan
  • Outline the list of key risk management activities
    • e.g.
      • Who ?
      • What ?
      • When ?
      • Where ?
      • How ?
    • Others
  • Explain how the Risk Breakdown Structure (RBS) can be used to support the risk management plan
  • Define a risk communication plan
  • Define risk prioritization criteria
  • Define stakeholder empowerment and education strategy
• Task 6 : Plan and lead risk management activities with stakeholders
  • Collaborate with the team that would conduct the risk planning on the project
  • Leverage stakeholder analysis done by the project manager
  • Manage stakeholder risk appetite and attitudes
  • Engage stakeholders in the risk prioritization process
  • Set appropriate expectations with stakeholders on the rules of engagement
  • Tailor risk communication for stakeholders
  • Lead stakeholder empowerment for risk strategies in the risk management plan
  • Train, coach, and educate stakeholders in risk principles and processes in order to create shared understanding of principles and processes, and foster engagement in risk management

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Created : 22/05/2022