Our methodology of working with risks
1. Identification. Identify risks that may interfere with the project objectives.
2. Analysis. Determine which of the identified risks are the most dangerous.
3. Planning. Plan the most dangerous risks.
4. Monitoring and control. Regularly maintain the project plan and update, based in the latest data.
Our strategies for working with risks
- Transfer. We transfer responsibility for the consequences of risk to a third party (customer, partner company, insurance company and so on). Applying this strategy makes sense, if we ourselves cannot influence the risk and there is someone to shift this responsibility on to.
- Accept. We accept responsibility for the consequences of risk ourselves, and do nothing, we leave it as it is. Applying this approach is only meaningful when we cannot do anything with a risk, and transfering it to a third party is unreasonably expensive.
- Mitigate. We struggle with the risk, taking responsibility for it ourselves. To combat the risk it is good to have several plans. Primarily, in order to suppress the risk, and secondly, in case the risk has not been reduced and affects the project.
A Primary plan must be implemented immediately, before the risk has occurred. It must either lower the Probability or the Consequences of the Risk. All risks should be recorded using the "cause-risk-effect" format. To lower the probability of risk, you need to fight its cause. To overcome the consequences, it is necessary to protect the subject of its impact.
A Secondary plan is implemented if the measures to combat the risk didn't yield the required results; the risk has happened and it has become a problem.
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