The PRINCE2 approach to the management of risk is firmly based upon the OGC guidance on this subject. Risks must be identified, assessed and controlled to support effective decision during the project, and to protect the viability of the business case. A Risk Management Strategy is required, which will set out the procedures to be followed during the project and set the context for risk tolerances.
PRINCE2 recommends a risk management procedure comprising a number of steps to identify the context and risks of the project, assess the individual and aggregate effects of risk, plan risk responses and then implement them. It explains also the importance of communications in effective risk management. The risk register, of course, also makes an appearance, and there is a good deal of detail about the potential responses to risk, both threats and opportunities.
Â
Â
