During these uncertain times, risk analysis processes are incredibly valuable tools for Owners to analyze potential project risks, develop mitigation strategies and achieve the desired project objectives. One of the most commonly used methods for this is the Quantitative Risk Analysis.
This process is typically owned by your Risk Management team, with participation by the Project Team and other business stakeholders as appropriate.
Risk is reported by a member of your staff, project team, or an external project participant
Risk is triaged and a preliminary assessment is completed, this is usually done by the core Project Team
This happens at several levels of the organization, depending on the severity or likelihood of a risk.
The review process may end with the Project Manager or may be escalated to Risk or even Executive level as appropriate.
Remember, Review Comments can be requested from non-eBuilder users, if necessary
The Risk is ranked amongst other program risks; statistical tests such as TOPSIS, JRAP, or Monte Carlo analyses may be performed during this phase
Stakeholders will decide on mitigation strategies which might include a workaround, transferring the risk, or accepting it. Some of which may require a risk response plan.
The program is updated with this information along with the mitigation strategy and potential ways of handling risks in the future.
Bonus! This same process can be easily adapted to manage Job Site Hazards or OSHA risks and can be made public for Subcontractor (or even anonymous) reporting, if necessary.
Extra Bonus! Apply the same concept to make high-level decisions with valuable insight from multiple decision-makers.
We’ve included video training to go with this whitepaper. Watch the full training video here! You’ll be tracking and reporting on risk in no time.