Project management risk management - Essay Example

Extract of sample
Project management risk management

Risk can be defined as the possibility of loss. Risk arises due to the inability to achieve objectives within defined cost, schedule and technical constraints. Risk has two components, one the possibility of not achieving a particular outcome, and the second is the result of failure to achieve the outcome. The former is the probability of risk and the later is the loss.
Risk management is a set of action that help the managers plan to deal with uncertain occurrences. It is through risk management managers assess risk and manage to reduce it to an acceptable level. The key idea in risk management is not to wait passively for a risk to materialize and become a problem. The objective of risk management is to ensure that for each perceived risk we know well in advance how to tackle it.
The process of risk management begins during the analysis phase and the actual process of managing risks continues throughout. Risk management is a dynamic process because it deals with the activities that are yet to happen. Risk management has two fold agenda. First deciding actions for preventing risk from happening and second deciding actions for tackling risk that materialize. Therefore risk management is all about preempting a risk, coming up with a plan for resolving the risk and finally executing the plan.
Risk identification: In this step manager gathers information about the potent ...
Download paper


At times we realize the planning in advance for the uncertain events of our life. Just as we plan for unforeseen events in our life, project managers also need to prepare for uncertainties affecting their project. All project management skills of a project manager can fall flat in the face of uncertainties and unplanned problems.
Author : zechariah13
Download 1

Related Essays

Project Management Risk Management .
It is further argued that the project managers ignore the issues like risk management associated with the projects because they want them to kick start the process as soon as possible ignoring the issues of great importance which can have the powers to seriously hamper the progress of any project....
6 pages (1506 words) Essay
Risk Management & Project Management
Threats are specific events that drive the project in the direction of outcomes viewed as unfavorable (for example, schedule delays, cost overruns, and inferior product performance (Heerkens, 2001). Risk management is an activity that occurs throughout the life of the project. It begins in the planning process and continues until the closing process is completed (Heldman, 2003)....
2 pages (502 words) Essay
Risk management and project quality
User support seems to be equally high for upgraded software from all vendors, but Globalupgrades seems to have marginally higher support from users....
4 pages (1004 words) Essay
Project Management In the era of continuous development of trade and commerce
Speaking it more clearly, project management embodies the pathways as regards the resources and technological availability, constraints for the implementation of the project, feasibility of the project, intended steps to be undertaken for the effective implementation of the project, evaluation of the project and the maintenance activities of the project for giving it into effect. All the actions and pathways are followed in accordance with the project planning. The functions and program manifesto of a given project may vary in accordance with the scope of a project....
12 pages (3012 words) Essay
Project Risk Management
Documentation review involves almost every field i.e. a documentation review can be carried out for different services such as legal, environmental, fraud and other investigations. With respect to project management, documentation review provides a comprehensive review for document intensive projects. The review consists of different procedures through which better solutions are designed in order to control expenses and reduce a risk of any given project. The main element of a documentation review is the gathering of information that is used upon before a project is initiated, this in-depth...
1 pages (251 words) Essay
Project Risk Management
ting because there are number of inputs into the sample model that are unknown and one technique is to obtain the approximate estimate for each input. The Monte Carlo models and methods use the probability distribution of the inputs and generated random inputs. On the contrary, if the approach used is the probability distribution rather than using the best single estimate or the inputs, it is not that easy and often simply impossible (Pietersz, 2011, n.p.)...
1 pages (251 words) Essay
Got a tricky question? Receive an answer from students like you! Try us!