Mastering Risk and Procurement in Project Management: A Guide to Planning, Controlling, and Resolving Unexpected Problems

3. Risk Analysis

3.1 Introduction

In reviewing work activity information, as the project manager discovers possible risks, a great deal of information will likely be discovered that can be used to characterize, prioritize, and develop a response plan that is needed for each risk. The analysis of information regarding each risk is a critical step in developing a response to each risk and should not be taken lightly. As we learned in Chapter 2, “Identifying Risk,” the development of a risk response can in itself create new risks depending on how the response is implemented. Correctly and accurately analyzing information regarding each risk ultimately plays a role in how much the risk will impact the budget of a project and what effects it will ...