The most important way of handling risks is to keep track of them in a risk register in which all the risks, including the risk status and planned responses, are laid down. The most obvious tool to use is a simple spreadsheet which lists individual risks on the rows and the information listed below in the columns.

The register lists for each risk the following information:

• • Risk ID
  • Risk title
  • Upside or downside risk (Threat or opportunity)
  • TECOPS identification (Technical, Economical, Commercial, Political, Social, or likewise categorisation)
  • Cause
  • Event
  • Effect
  • Risk rating before risk response
    • Likelihood rating
    • Impact rating
    • Risk rate (multiplication of likelihood & impact)
  • Planned response (including timing)
  • Residual risk rating after response
    • Likelihood rating
    • Impact rating
    • Risk rate (multiplication of likelihood & impact)
  • Who is responsible for the risk

When defining a project, it is important to think about risks already early in the process. Those risks are gathered in an initial risk register, covering the above items.

 

Identify with the help of the risk assessment matrix (shown below) the top-3 risks in the project.

Develop a mitigation measures to prevent the risk from happening or to reduce the effect of the risk when it materialises.