Software Engineering

14

Risk Analysis and Management

CHAPTER COVERAGE

1  Introduction

2  Software Risk

3  Types of Risk

4  Plan Risk Management

14.1  INTRODUCTION

There is an element of risk in every activity or enterprise, but effective risk management techniques can mitigate the harmful effects of risks coming to fruition. The American Express Bank, for example, obviously succeeded in managing risk effectively and professionally, because their centers in New York were back in operation just one day after the 9/11 attacks. Project managers, too, are required to plan for and manage risks, because cost overruns, loss of stakeholder confidence, or even outright project failure can result if any or all threats associated with project risks do materialize.

An important ...