What Is Risk Management?
Risk management provides an environment for proactive decision making. As a framework for the iterative process of planning, tracking, and reacting to risk, the risk management process includes:
To address changing conditions and project priorities, you must analyze risks throughout the life of the project, beginning in the project selection phase. As new risks are identified, you must develop strategies and plans to address them.
Risk Management Steps
The chart on the following page shows the steps that you follow when performing risk management. Remember, risk management is an iterative process. You must go through this entire process regularly to ensure that any new risks are identified and addressed.