Module 9: Risk
Syllabus
9. Understand the PRINCE2 prac ces and how they are applied throughout the project
9.2 Risk prac ce
i. Explain the purpose of the ‘risk’ prac ce
ii. Describe the key rela onships between the ‘risk’ prac ce and the
principles
iii. Explain the purpose of the key management products required to
support the ‘risk’ prac ce: PID; risk management approach; project log;
risk register
iv. Define key concepts related to the ‘risk’ prac ce: risk; risk appe te; risk
tolerance; risk cause, event and effect; risk exposure; risk owner and risk
ac on owner; risk likelihood; risk impact
v. Describe the guidance for effec ve management of risk: risk analysis;
use of data; risk control; risk culture; understand decision bias; align with
organisa onal and other policies and processes; recommended risk
response types
vi. Describe the PRINCE2 technique for the ‘risk’ prac ce
Lessons Learned
- Explore and understand the purpose of the risk prac ce
- Understand the purpose of the risk budget
- Know and understand the key concepts related to risk
- Understand the recommended risk management procedure
- Understand the purpose of the risk management approach and risk register
, Defini on of risk
An uncertain event or set of events that, should it occur, will affect the achievement of
objec ves. A risk is measured by a combina on of the likelihood of a perceived threat or
opportunity occurring, and the magnitude of its impact on objec ves.
Purpose of the risk prac ce
The purpose of the PRINCE2 risk prac ce is to iden fy, assess, and control uncertain es
and, as a result, improve the ability of the project to succeed.
Key risk concepts
Risk
response
Risk
types
owner and
Velocity
risk action
owner
Budget Exposure
PRINCE2
Risk
Tolerance Likelihood
Appetite Impact
Proximity
A risk can be:
- A threat: for uncertain events that would have a nega ve impact on objec ves
- An opportunity: for uncertain events that would have a posi ve impact on objec ves
Key concepts:
- Risk owner
o The person who is assigned to take responsibility for responding to a risk
- Risk ac on owner (risk ac onee)
Syllabus
9. Understand the PRINCE2 prac ces and how they are applied throughout the project
9.2 Risk prac ce
i. Explain the purpose of the ‘risk’ prac ce
ii. Describe the key rela onships between the ‘risk’ prac ce and the
principles
iii. Explain the purpose of the key management products required to
support the ‘risk’ prac ce: PID; risk management approach; project log;
risk register
iv. Define key concepts related to the ‘risk’ prac ce: risk; risk appe te; risk
tolerance; risk cause, event and effect; risk exposure; risk owner and risk
ac on owner; risk likelihood; risk impact
v. Describe the guidance for effec ve management of risk: risk analysis;
use of data; risk control; risk culture; understand decision bias; align with
organisa onal and other policies and processes; recommended risk
response types
vi. Describe the PRINCE2 technique for the ‘risk’ prac ce
Lessons Learned
- Explore and understand the purpose of the risk prac ce
- Understand the purpose of the risk budget
- Know and understand the key concepts related to risk
- Understand the recommended risk management procedure
- Understand the purpose of the risk management approach and risk register
, Defini on of risk
An uncertain event or set of events that, should it occur, will affect the achievement of
objec ves. A risk is measured by a combina on of the likelihood of a perceived threat or
opportunity occurring, and the magnitude of its impact on objec ves.
Purpose of the risk prac ce
The purpose of the PRINCE2 risk prac ce is to iden fy, assess, and control uncertain es
and, as a result, improve the ability of the project to succeed.
Key risk concepts
Risk
response
Risk
types
owner and
Velocity
risk action
owner
Budget Exposure
PRINCE2
Risk
Tolerance Likelihood
Appetite Impact
Proximity
A risk can be:
- A threat: for uncertain events that would have a nega ve impact on objec ves
- An opportunity: for uncertain events that would have a posi ve impact on objec ves
Key concepts:
- Risk owner
o The person who is assigned to take responsibility for responding to a risk
- Risk ac on owner (risk ac onee)
