10 Golden Rules To Mitigate Risks In Your Projects (Part 1)

In today’s ever-changing world of project management, risk management is a widely discussed topic as we are now in a better position to manage risks. So, what does risk management actually entail? This article addresses 10 golden rules in the field of risk management.

WHAT IS RISK MANAGEMENT?

Project risk management is a process to identify, analyze and minimize potential problems to the progress of your project. The aim of project risk management is to care for anything that might cause nuisance to the ultimate goals of the project. Unless project risks are identified, avoided or rectified, your project may end up in a mess.

HOW TO MANAGE RISKS ON PROJECT?

The ability to envisage risk that might show up anytime during your project is a key to an effective manager. A competent risk management plan helps you be prepared to conquer uncertainties on the project. Here are 10 rules to keep in mind for an effective risk management plan.

- Rule 1: Include risk management in your project

You can’t find solutions to the problem if you’re not aware of it. That’s why while planning for the project, embed risk management in your plan. Try to foresee as many risks that you may encounter as possible. Besides, remember to define the causes and effects of those risks to minimize their harms to your project.

- Rule 2: Identify risks early in your project

This step requires an open mindset to describe all possible scenarios that might happen to your project. You can seek after your team members for various perspectives. Or you can look for experienced managers in your industry and experts in your organization who know the type of work you are dealing with for consultation.

- Rule 3: Communicate about risks

Communication is considered as one of the Must-Have Leadership Qualities For Project Managers, project managers need to inform the team about the foreseeable risks in order for the team to be mentally prepared about their existence. It is advisable for a project manager to involve risk communication in the tasks carried out by the team. Team meeting is made for this purpose. This helps your team to be thoughtful over the project risks and give them a chance to discuss and raise their voices.

- Rule 4: Take account of both threats and opportunities

When talking about risks, we usually come to negative aspects of this dimension. However, don’t neglect the bright side of it as positive risk, or project opportunities can bring a lot of benefits to your project. These chances can accelerate your project and make your project more profitable.

(to be continued)

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