MANAGEMENT

Risk Management

Risk Management

Introduction

The purpose of risk management is to control the major risks to a project, from preliminary studies preliminary design and detailed studies, implementation, testing, to deployment and into production or operation of the final product. Risks can be identified and analyzed from a classification of the major risk categories broken down into subcategories for each field of activity and / or profession. The Anglo-Saxons call it the RBS (Risk Breakdown Structure), i.e. decomposition by structured risk families and subfamilies. A monitoring and control must be implemented, including a measurement system and risk assessment. Bypass mechanisms designed to offset a problem with pragmatism. Crisis management, to provide an organization not to mention the disaster recovery and business continuity to design and implement, prevention appears to be an investment and low cost (Holmes, 2002, pp. 321).

Risk analysis

Risk analysis can be done by following a logical process starting with a phase identification and risk assessment and then manage them. c. to d. analyze and implement the actions of withdrawal, reduction to control the residual risks.

Probability (or frequency) of a risk

The first attribute characterizing a risk is the probability of it occurring. If it is an operational risk, that is to say, a risk likely to be repeated in project, we can also talk about frequency. Thus, instead of characterizing in terms of probability of the risk that stakeholders are not informed of events that affect them during the project, it may qualify the event of chronic, occasional or rare. Expressed in terms of probability, this is equivalent to describe the fact that if a significant event occurs, the probability is very high, low or very low as stakeholders do not be informed. A scale for assessing probability of a risk occurring is illustrated below. This probability can be expressed by a statement of uncertainty, or an ordinal value between 0 and 1.

Process of Risk Management

Identification Phase

Risk identification is to identify potential problems before they turn into real problems and to include this information in the process of project management. The identification phase allows us to formulate statements of risks and contextual information to identify them. The statement of risk and contextual information to this risk can be clarified by responding to three questions:

• What conditions or symptoms that are a risk is what it is, that is to say a problem awaiting circumstances that will allow it to materialize?

• Why is it a risk, that is what impact will this risk if it occurs?

• Where does the risk, ie what are the causes of conditions or symptoms?

An effective risk management involves a continuous process of identification. In Indeed, new risks may arise during the implementation of project. Free communication is also required for identifying risks and to encourage all project stakeholders to communicate issues potential they see, from a future-oriented vision of the product or service covered by the project. Although an individual contribution plays a role in this identification, the exchanges promoted by a team ...