Practical Project Risk Management, Third Edition, 3rd Edition

Book description

This new edition of an award-winning risk management classic is more actionable than ever with new chapters on facilitating risk conversations and running a risk workshop.

Risk isn't just about threat; it's also about opportunity. You have to be ready to take advantage of the most unexpected events—good or bad—with any project you are managing. But how does this work in practice? The Active Threat and Opportunity Management (ATOM) methodology offers a simple, scalable risk process that applies to all projects in all industries and business sectors. For each process step, the authors offer practical advice, hints, and tips on how to get the most out of the risk management process.

Risk management really can work in practice. This Project Management Institute award-winning methodology is already used by top corporations. Whether you are someone with no prior knowledge of risk management or someone who simply needs guidance on how to apply risk management successfully, this book will help you tackle the ups and downs of this unpredictable world.

Table of contents

  1. Cover
  2. Title Page
  3. Copyright Page
  4. Contents
  5. Foreword to the Third Edition
  6. Authors’ Preface
  7. Part I: The Problem
    1. 1 The Challenge of Managing Risk
      1. Risk—The Definition Debate
      2. Clarifying Some Confusions
      3. Using Risk Management on Projects
      4. Benefits of Effective Risk Management
    2. 2 Making It Work
      1. Why Don’t We Do It?
      2. Turning Negatives into Positives
      3. Four Difficult Challenges
      4. The Critical Success Factors for Risk Management
      5. Conclusion
    3. 3 Active Threat and Opportunity Management—The ATOM Risk Process
      1. Introducing ATOM
      2. Project Sizing
      3. ATOM for the Medium-Sized Project
      4. Comparison to Existing Standards
      5. Conclusion
  8. Part II: Applying ATOM to a Medium-Sized Project
    1. 4 Start at the Beginning (Initiation)
      1. Inputs
      2. Activities
      3. Outputs
      4. Summary
    2. 5 Exposing the Challenge (Identification)
      1. Inputs
      2. Activities
      3. Outputs
      4. Summary
    3. 6 Understand the Exposure (Assessment)
      1. Inputs
      2. Activities
      3. Outputs
      4. Summary
    4. 7 Options and Actions (Response Planning)
      1. Inputs
      2. Activities
      3. Outputs
      4. Summary
    5. 8 Spread the Word (Reporting)
      1. Inputs
      2. Activities
      3. Outputs
      4. Summary
    6. 9 Just Do It (Implementation)
      1. Inputs
      2. Activities
      3. Outputs
      4. Summary
    7. 10 Keep It Alive (Major Reviews)
      1. Inputs
      2. Activities
      3. Outputs
      4. Summary
    8. 11 Ongoing Updates (Minor Reviews)
      1. Inputs
      2. Activities
      3. Outputs
      4. Summary
    9. 12 Learn from Experience (Post-Project Review)
      1. Inputs
      2. Activities
      3. Outputs
      4. Summary
  9. Part III: Variations on a Theme
    1. 13 ATOM for Small Projects
      1. Less Is More
      2. Initiation
      3. Identification
      4. Assessment
      5. Response Planning
      6. Reporting
      7. Implementation
      8. Review
      9. Post-Project Review
      10. Conclusion
    2. 14 ATOM for Large Projects
      1. Bigger Is Better
      2. Initiation
      3. Identification
      4. Assessment
      5. Response Planning
      6. Reporting
      7. Implementation
      8. Review
      9. Post-Project Review
      10. Conclusion
    3. 15 Simulating Possible Futures (Quantitative Risk Analysis)
      1. Introducing Quantitative Risk Analysis Using Monte Carlo Simulation
      2. Quantitative Risk Analysis in the Project Life Cycle
      3. Quantitative Risk Analysis in the ATOM Process
      4. Getting Started
      5. Analysis
      6. Interpreting Outputs
      7. Using Results
      8. Conclusion
    4. 16 The ATOM Risk Workshop
      1. Variants on the ATOM Risk Workshop
      2. Assessment of Probability and Impacts during the Assessment Step
      3. Conclusion
    5. 17 Facilitation in the ATOM Risk Management Process
      1. The Facilitation Spectrum
      2. People Skills
      3. Critical Success Factors for Risk Facilitation
      4. Conclusion
    6. 18 Managing Risk in Programs and Portfolios
      1. Aim and Scope of Program and Portfolio Risk Management
      2. Managing Risk in Programs and Portfolios
      3. Remaining Challenges and the Way Ahead
  10. Epilogue: Next Steps
    1. Step 1: Appoint an Organizational Risk Sponsor
    2. Step 2: Tailor the ATOM Process
    3. Step 3: Pilot Application
    4. Step 4: Modify Process (If Required)
    5. Step 5: Develop Infrastructure
    6. Step 6: Train Staff
    7. Step 7: Assess Existing Risk Management Capability
    8. Step 8: Implementation and Rollout
    9. Step 9: Reassess Capability and Refresh Process
    10. Conclusion
  11. Appendix: Templates and Examples
  12. Glossary of Terms and Abbreviations
  13. References and Further Reading
  14. Acknowledgments
  15. Index
  16. About the Authors

Product information

  • Title: Practical Project Risk Management, Third Edition, 3rd Edition
  • Author(s): David Hillson, Peter Simon
  • Release date: November 2020
  • Publisher(s): Berrett-Koehler Publishers
  • ISBN: 9781523089222