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). (See A 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.