Boston University ?Essential Components for Risk Analysis Discussion

Overview and Rationale

In order to demonstrate proficiency with the content in this course we will complete a number of different assignments to validate your learning – and allow you to implement relevant practices a real-world setting.

Program Level – Student Learning Outcomes:

• Create a risk management plan to determine how both positive and negative risks will be identified, analyzed and managed

• Articulate the value and benefits of creating an effective approach to planning for project risk management

• Identify project related risks and their drivers by integrating best practices, tools and techniques

• Analyze risks using qualitative methods for the purpose of risk exposure and prioritization and communicate their impact to the stakeholders

• Analyze risks using quantitative methods for the purpose of risk exposure and prioritization and communicate their impact to the stakeholders

• Recommend risks for risk response planning or watch list

• Devise a risk response plan based on appropriate techniques and strategies that would meet

o Stakeholders’ expectations

• Execute the risk management plan to continuously monitor risks and risk responses

• Describe how organizational and cultural factors may undermine implementation of effective risk management and develop strategies to overcome these factors

Week 3 Learning Objectives

Analyze risks using qualitative methods for the purpose of risk exposure and prioritization and communicate their impact to the stakeholders

o Apply Probability & Impact Matrix/ Definitions to prioritize identified risks

o Calculate Risk Exposure to communicate risk impact

o Apply Risk Tolerance elements of Risk Management Plan to identify risks requiring handling actions

o Explain how to use surveys & interviews to collect data from stakeholders for risk qualification

Analyze risks using quantitative methods for the purpose of risk exposure and prioritization and communicate their impact to the stakeholders

o Calculate the Expected Monetary Value of a risk event and its impact

o Use PERT (Statistical Sums)

o Understand the purpose of a Monte Carlo Simulation and interpret its results

o Conduct a Sensitivity Analysis for a risk event

o Use Decision Tree Analysis to understand

o Risk Prioritization

o Risk Exposure

Recommend risks for risk response planning or watch list

Essential Components

This assignment provides the opportunity to review ES risk management practices and analyze project risks to determine handling actions.

Identify the tools and techniques and evaluation criteria for analyzing risks. These may be of your choosing based on the project or requirements of the organization for which you work.

Conduct a qualitative analysis of the identified risks.

Conduct a quantitative analysis of the identified risks.

Update the risk register with analysis information for identified risks. In addition to providing probability and impact for each risk (as aligned with your Risk Management plan), include an explanation of why each risk was assigned these “values”. What informs this information?

Indicate risks that will be placed on a watch list and those for which a risk response will be defined. Again, the criteria used for this step may be of your choosing or set by the organization for which you work.

As you perform the work for this assignment, you may become aware of additional risks. Be sure to add these to the risk register and perform the qualitative/quantitative analysis for these additional risks.

Include a summary paragraph sharing how risks were analyzed, what was effective about the process and what you might do differently moving forward.