Control only.pdf
- 2. What is Risk ? "Tomorrow problems are today's risk." Hence, a clear definition of a "risk" is a problem that could cause some loss or threaten the progress of the project, but which has not happened yet. These potential issues might harm cost, schedule or technical success of the project and the quality of our software device, or project team morale. Risk Management is the system of identifying addressing and eliminating these problems before they can damage the project.
- 3. Risk Management Project risks Technical risks Business risks A software project can be concerned with a large variety of risks. In order to be adept to systematically identify the significant risks which might affect a software project, it is essential to classify risks into different classes. The project manager can then check which risks from each class are relevant to the project. There are three main classifications of risks which can affect a software project: 1. 2. 3.
- 4. Project risks: Project risks concern differ forms of budgetary, schedule, personnel, resource, and customer- related problems. Business risks: Technical risks: Technical risks concern potential method, implementation, interfacing, testing, and maintenance issue. It also consists of an ambiguous specification, incomplete specification, changing specification. This type of risks contain risks of building an excellent product that no one need, losing budgetary or personnel commitments, etc.
- 5. Principle of Risk Management Global Perspective: In this, we review the bigger system description, design, and implementation. We look at the chance and the impact the risk is going to have. Take a forward-looking view: Consider the threat which may appear in the future and create future plans for directing the next events. Open Communication: This is to allow the free flow of communications between the client and the team members so that they have certainty about the risks. Integrated management: In this method risk management is made an integral part of project management. Continuous process: In this phase, the risks are tracked continuously throughout the risk management paradigm. 1. 2. 3. 4. 5.
- 7. Risk Analysis: The probability of the risk might be determined as very low (0-10%), low (10-25%), moderate (25-50%), high (50-75%) or very high (+75%). During the risk analysis process, you have to consider every identified risk and make a perception of the probability and seriousness of that risk. There is no simple way to do this. You have to rely on your perception and experience of previous projects and the problems that arise in them. It is not possible to make an exact, the numerical estimate of the probability and seriousness of each risk. Instead, you should authorize the risk to one of several bands: 1.
- 8. Risk Planning The risk planning method considers each of the key risks that have been identified and develop ways to maintain these risks. For each of the risks, you have to think of the behavior that you may take to minimize the disruption to the plan if the issue identified in the risk occurs. You also should think about data that you might need to collect while monitoring the plan so that issues can be anticipated. Again, there is no easy process that can be followed for contingency planning. It rely on the judgment and experience of the project manager
- 9. Risk Control Avoid the Risk Transfer the Risk Risk reduction It is the process of managing risks to achieve desired outcomes. After all, the identified risks of a plan are determined; the project must be made to include the most harmful and the most likely risks. Different risks need different containment methods. In fact, most risks need ingenuity on the part of the project manager in tackling the risk. There are three main methods to plan for risk managementv: 1. 2. 3.
- 10. This may take several ways such as discussing with the client to change the requirements to decrease the scope of the work, giving incentives to the engineers to avoid the risk of human resources turnover, etc. Avoid the Risk: Transfer the Risk: This method involves getting the risky element developed by a third party, buying insurance cover, etc. Risk Reduction: This means planning method to include the loss due to risk. For instance, if there is a risk that some key personnel might leave, new recruitment can be planned.