Project Risk Management

Implement Risk Responses

 Implement Risk Responses
This course is based on the provisions on A Guide to the Project Management Body
of Knowledge. Therefore the materials contents are drawn from PMBOK Guide,
Skillsoft, and diverse and relevant sources

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PMI, PMBOK Guide are the trade mark of The project
Management Institute Inc
 Implement Risk Responses
Implement Risk Response Processes makes use of three sections:
Inputs, Tools & Techniques, and Outputs
The inputs are;

 Project management plan that includes;

1. risk management plan,

project documents that includes

1. lessons learned register,
2. risk register, and
3. risk report, and
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organizational process assets Management Institute Inc
 Implement Risk Responses

The tools and techniques are

expert judgment,

interpersonal and team skills;

1. influencing, and

 project management information system

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 Implement Risk Responses

The outputs are

change requests and

project documents updates that includes

1. issue log,
2. lessons learned register,
3. project team assignments,
4. risk register, and
5. risk report. PMI, PMBOK Guide are the trade mark of The project
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 Implement Risk Responses

 You spend a great amount of time on planning when you're managing

a project

 About half of all the project management processes we go through are in

planning processes

 This is because it helps you establish what you need, want, and work
towards in reaching the goals of our project.
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 Implement Risk Responses
 The aspects of managing project risk, devotes significant amount of time
identifying and analyzing risks

 substantial effort is also spent determining appropriate risk responses for

the project

 “The purpose of the implement risk responses process is to ensure that the
agreed upon risk responses are actually executed” as their needs come up

 This process is to ensure that appropriate efforts are made in executing the
planned responses happens.

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 Inputs to Implement Risk response

Where the risk management plan is used. It contains details about project
team and stakeholder risk management-related roles and responsibilities,
which you use for assigning risk response owners

It also contains risk management methodology level of detail and risk
thresholds

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 Inputs to Implement Risk response

Relevant project documents, including;

1. the lessons learned register
2. the risk register and
3. the risk report
(the risk register contains the agreed upon risk responses along with the individuals
or groups responsible for implementing the responses)

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 Inputs to Implement Risk response

organizational process assets. ( lessons learned contained in the OPA ,in

its repository may outline the effectiveness of risk responses that were
used in other similar projects

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 Tools & Techniques to Implement Risk Responses
.
Expert judgment,

interpersonal and team skills, and

Project Management Information System, or PMIS.

Example: The judgement of the PM or other experts with specialized training or

knowledge in validating, modifying and determining how to best implement
appropriate risk responses.

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 Tools & Techniques to Implement Risk Responses

 Interpersonal and team skills, especially influencing, is critical,

 This requires the PM,s ability to encourage others to implement agreed

response as often those implementing the Risk response may be
outside the project team

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 Tools & Techniques to Implement Risk Responses

 PMIS
includes automated schedule, resource, and cost management features to
help you store, retrieve, manage, track, and update relevant information.

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 Outputs of Implement Risk Responses Process
 issue change request
change may be necessary to the cost baseline, schedule baseline or a component
of the project management plan.

Relevant project documents may need to be updated. That includes

1. issue log,
2. lessons learned register,
3. project team assignments,
4. the risk register
5. risk report

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 Take Away

 Strategies must be timely.

 More than one response can be used to address the same risk.
 One response can be used to address more than one risk.
 The effort selected must be appropriate to the severity of the risk (avoid
spending more money preventing the risk than the cost impact of the risk
itself).
 The team, other stakeholders, and experts should be involved in selecting a
strategy.

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 Contingency plans: Contingency plans are plans describing the specific
actions that will be taken if the opportunity or threat occurs.
 Fallback plans; These are specific actions that will be taken if the contingency
plan is NOT effective.
 Residual risk; “ a leftover risk” After implemented a risk response strategy,
minor risk might still remain.
 The contingency reserve is set up to handle situations like this. Residual risks
that are expected to remain after planned responses have been taken, as
well as those that have been deliberately accepted
.

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 Secondary risks; Risks that come about as a result of implementing a risk
response. They are risks that arise as a direct outcome of implementing a risk
response
 • When planning for risk, identify and plan responses for secondary risks that
could occur. Reserves (contingency)
 Having reserves for time and cost is a required part of project management.

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Risk triggers;
 Trigger conditions, symptoms, and warning signs of a risk occurrence;
 These are events that trigger the contingency response.
 A project manager should identify the early warning signs (indirect
manifestations of actual risk events) for each risk on a project so that he or she
will know when to take action.
 A risk may have one or more causes, and if the event occurs, one or more
impacts.
 Identifying the causes of risk events help define the risk trigger.
 A risk trigger indicates that a risk event is about to happen.

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Updates to the risk register
 Risk owners and assigned responsibilities
 Agreed-upon response strategies
 Specific actions to implement the chosen response strategy
 Trigger conditions, symptoms, and warning signs of a risk occurrence
 Budget and schedule activities required to implement the chosen responses
 Contingency plans and triggers that call for their execution
 thresholds.

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 Fallback plans for use as a reaction to a risk that has occurred and the primary
response proves to be inadequate
 Residual risks that are expected to remain after planned responses have been
taken, as well as those that have been deliberately accepted
 Secondary risks that arise as a direct outcome of implementing a risk response;
and
 Contingency reserves that are calculated based on the quantitative risk analysis
of the project and the organization’s risk thresholds.

PMI, PMBOK Guide are the trade mark of The project

Management Institute Inc
PMI, PMBOK Guide are the trade mark of The project
Management Institute Inc