Risk management

Alright, let’s define the risk as a term: Risk - positive or negative event, which can happen or not happen.

As the following techniques applied to risks overall, it means they applied both to positive and negative events that can happen or not. It’s fine to keep different registries for positive and negative though.

Algorithm

flowchart TD
	IR(identify risks)
	QA(quantitative analysis)
	QuA(qualitative analysis)
	P(Reaction plan)
	C(Control)
	IR-->QA & QuA -->P-->C

That will help to fill the following table (example)

Risk	Probability	Impact	Importance

Reaction plan

Risk name	Plan A	Plab B	Trigger	Owner
Plan A - before the risk occurs, our actions to avoid the negative risk or mimize it’s potential impact; in case of positive - actions to improve the probability of the risk to happen. The Plan A is immediately being executed after the identification.

Plan B - our actions in case the risk occurred.

A trigger of a risk - a fact (symptom), i.e. answers the question “how to understand the risk got occurred?“.

An owner of a risk - a person, who noticed the trigger and understands that the time for the Plan B has come.

flowchart TB
A(Plan A)
B(Plan B)
R(Risk)
T(Trigger)

S(success)
F(failure)

A-->R-->T-.->|owner acts|B-->S
T-.->|owner doesn't act|F

There are various strategies for the Plan A: avoid, mitigate, transfer, accept a risk.

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