Risk Management Plan

 

Risk Management Plan

A risk is an ‘‘uncertain event or condition that, if it occurs, has an effect on at least one project objective’’ (scope, schedule, or budget). (SeeA Guide to the Project Management Body of Knowledge (PMBOK_ Guide), p. 275.

The risk management plan, evolving throughout the planning process, incorporates

(1) risk identification;

(2) qualitative and quantitative assessments;

(3) strategies for prevention, detection, and mitigation of loss; and

(4) recovery and restoration of functions.

 

Risk management plan

A plan that documents the procedures that will be used to manage risk throughout the project.

 

The output of a risk management plan includes:

• Possible risks, potential causes, and how they may affect the project.

• Prioritized list of project risks, their owners, and planned responses.

• Warning signs of a possible risk occurrence.

• Secondary risks that may arise from the response to a risk event.