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is it risk management when you accept the unaccepted risk!?
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question with a philosophical approach !
is it risk management when you accept the unaccepted risk!?
if yes or no .. why ??
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Philosophical indeed. Firstly I guess we need to clarify what unacceptable risk (I assume this is what you mean?). Unacceptable risk basically means that it is a risk that cannot be left to its own devices i.e. any risk with a mitigation strategy other than acceptance. So any risk where you apply limitation/reduction or avoidance/transference strategy is an unacceptable risk. Where you can safely 'ignore' risk it is deemed as acceptable. So yes, it is definitely risk management.
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Thanks Mr. Anton
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Rand -

Acceptance is still a response. As a PM, if I have brought forward a risk which the team and I feel is unacceptable and the risk owner elects to do nothing with it, they are accepting that risk. The team and I will then spend effort in trying to protect the project from the realization of that risk but will likely be constrained by political influence or resources. Regardless, we have managed that risk, just not as effectively as if the risk owner had agreed to do something more appropriate.

Kiron
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Thanks Mr. Kiron
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Based on the analysis, it can be determined that accepting the risk is less costly than the mitigation strategy, or the likelihood is low enough, the acceptance again the most cost effective option.
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If the risk is unaccepted, that means you do not want to be indifferent to a risk, at least according to PMI risk management.

If you accept the unaccepted risk, that means you accept that the risk must be managed.
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I have been dealing with risk for a long time.
I am not sure how and who will define what is an unacceptable risk!!!
A risk is a risk, whether we accept it or not, whether we like it or not.
We have to run it thru the process. A risk has to be qualified, quantified, and subsequent action plan dealing with the risk must be specified.
At the same time, risk identification is an ongoing process.
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thank you all for your informative contributions
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A risk can be Avoided, Mitigated, Accepted (Active or passive), Exploited, Transferred, Shared, Enhanced...
If you have identified it as a risk , you have to manage it as such. You can not have it as "unacceptable".
"unacceptable " could have a different connotation. It would even mean that the Management has "no tolerance" for this risk and they are not ready to acknowledge it . If you cannot find a management strategy for this risk, it's best not to embark on that risky venture.
Guess what, by not doing the work, you have actually "Avoided" the risk. so you have managed it anyways.
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Rand's question said "unaccepted risk". It appears some are changing it to "unacceptable risk".
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1 reply by Deepesh Rammoorthy, PMP®
Sep 11, 2017 9:35 PM
Deepesh Rammoorthy, PMP®
...
Ha ! the Philosophical Approach .....Now I see It :)
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