Project Planning

While there are many methods of risk assessment, a simple qualitative method generally suffices. Besides, since risk assessment is partly subjective, a qualitative ordinal rating is more appropriate than a quantitative method.

Risk Severity

A : Risk destroys or does critical damage to the project's schedule, quality, or budget.

B : Risk damages schedule, budget, or quality.

C : Minor impact on project.

Risk Probability

1 : Certain or highly probable.

2 : Moderate likelihood of occurrence.

3 : Small likelihood of occurrence.

Priority One - Mitigate immediately before proceeding with project.

Priority Two - Develop mitigation plans as part of the project plan.

Priority Three - Handle as part of normal project management. If the Severity was A, and the impact is bad enough, it may be worthwhile to increase this to Priority Two or even Priority One. That is a judgment call based on the impact.

Accept - Risk is acceptable and need not be tracked. If it arises, it can be dealt with through normal project management.