Please login or join to subscribe to this thread
These are all related to timing of the risk being realized. Basically, is the train miles away or round the corner, and is the big hungry wolf sleeping or wide awake...
@narendera yadav -Some projects classify risks as within 7 days; over 7 days. That's example of proximity .
Bird hits are something a pilot can never escape, because it takes less than a second to react. Thats example of urgency.
If you update cost baseline, only once in 3 months, you might allow risks to lie latent for too long and suddenly one fine morning find an explosive situation. Thats dormancy - a risk that lies latent for too long.
Urgency = How far is the risk
Proximity = How much time will you have to act after the risk has occured to save the project
Dormancy = How long will it take for for the impact to show up and be discovered
Let us consider a real-life example for this question.
Project: Sustain global health index
Risk: Covid-19 infection
Highest impact: Death
Urgency: When the virus was first identified in 2019, China had the highest urgency towards addressing the risk while other countries far away from China thought it was just another regional disease and had other problems to deal with and therefore urgency to address the risk was low for those countries.
Proximity: How soon is the risk expected to occur for it to impact project objectives? The proximity for China was the highest when the virus was first identified in Dec 2019 as it had only few days to take immediate actions to save as much people as possible.
Dormancy: The idle time after a risk has occurred before realizing its impact. The Covid-19 was declared a pandemic in Mar 2020 but there was a period of time in certain countries when lock downs were not mandated. The risk had already occurred and countries thought they still had the time to address the risk before implementing lockdowns, but the impact was catastrophic.
Please login or join to reply