Step 5: Risk management in projects
Project risk management is the process of identifying, analyzing and then responding to any risk that arises over the life cycle of a research project. The purpose is to help the project remain on track and meet its goal. Risk management is not only a reactive process; it should be part of the planning process to figure out risk that might happen in the project and how to control that risk if it in fact occurs.
How to identify risks in a research project
A risk is anything that could potentially affect your project’s timeline, performance or budget. When identifying risks within a research project you could consider risks by category and during what phase of the project they are most likely to occur. It is also wise to develop an understanding of which potential risks might have the greatest negative impact on your project. See figure below for an example of the Correlation between probability and impact of risk within a research project.
Examples of risk categories are; Infrastructure, Recruitment, Financial, Health, Project management, Partners, Legal, People, Safety, Environmental.
How to manage risk in a research project?
‘Risk management’ means developing an action plan for eliminating or reducing the impact of risks if they occur. It is the overall objective of the risk management plan to decrease the probability and impact of events adverse to the project. A generic risk management plan is summarized in a table as shown by the example below.