Enhanced Risk Assessment Matrix for the Management of Project Risks
Project risk management generally comprises the following activities (PMI, 2008; Conroy & Sulton, 1998; Raz & Michael, 2001; Kayis et al., 2007; Space and Naval Warfare Systems Center, 2002; Statz, 1999):
- Risk Identification
- Risk Assessment/Analysis
- Risk Prioritization
- Risk Response Planning/Management
- Risk Monitoring and Control
There are many tools available to assist with executing these activities and A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (PMI, 2008) describes ten of them as potentially useful. However, the tools are used infrequently by project managers (Zwikael & Globerson, 2004; Raz et al., 2002; Zwikael & Sadeh, 2007; Couture & Russett, 1998; Mullaly, 1998; Ibbs & Kwak, 2000), possibly because they are not well-known or because too much effort is required to develop them relative to their risk management value. It is also possible that the non-prescriptive listing of all those tools as “could be used” in the PMBOK® Guide may intimidate some project managers. It would be beneficial to have a prescriptive protocol involving only two project management tools that are simple and easy to develop, while greatly facilitating execution of the five risk management activities.
Common Project Risk Management Tools
The tools available for risk
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