Risk Identification

The identification of risks is very important. Each item must be described in detail so that it will not be confused with any other risk or project task that must be done. Each risk should be given an identification number. During the course of the project, as more information is gathered about the risk, all of this information can be consolidated.

Initially a meeting of the working team should convene to dis­cuss and identify risks. The meeting should be convened offsite at a hotel or other meeting room away from the work environment. The reasons for such an approach are twofold. First, the team has to start working together, and for this some discussion venue away from the stress of the workplace work can help "melt the ice." Second, team members’ minds need to work free from any outside stress, so that the benefits of their previous experience can be brought more fully into play.

At this meeting, a "brainstorming" approach can be applied to encourage each individual to bring forward his or her own thoughts regarding expected risks during the project. These can be collected and reduced to written form in the order illustrated in Table (9.1). This list will become a basic document of the project.

Project Name:

Project Manager:

Client Name:

Responsible

Risk Degree: High Medium Low

Date

Impact:

High/

Medium/

Low

The Probability: 1-9

Risk

Description

Key Stage Code

Item

No.

Project manager signature: Date:

Project Risk Management 305

The first component to discuss is the identification of the risk event. The project team, subject-matter experts, stakeholders, and other project managers are all called upon to contribute to this risk – identification process. Much of the work already done in the project will be utilized in the risk management process. Among these items that will be used are the project charter, the work breakdown struc­ture, project description, project schedule, cost estimates, budgets, resource availability, resource schedules, procurement information, and assumptions that have been made and recorded.