RISK MANAGEMENT 641 - ASSIGNMENT NO 1 (Value 40%)

TOPIC: PROJECT RISK MANAGEMENT PROCESS

Aim of Assignment:
General To understand and apply the project risk management process
Specific To identify risks
To analyse risks qualitatively
To treat risks
To reflect on a risk that has eventuated

This assignment uses information from Topics 2,3,4, and 5

PART A APPLICATION
For Part A, you are to select ONE project, which can be either a project that you are presently involved with in your
professional work; or a social project. Can be the same project as assignment #1. The risk selected for Part A must
be for a FUTURE EVENT, not a risk that has already eventuated. NOTE: it must be a project, not operational, risk.

1. RISK IDENTIFICATION
A. Select and fully explain one risk event Provide any relevant contextual information
B. Fully explain two key causes for your selected risk event

2. QUALITATIVE RISK ANALYSIS

A. Create a 5-level Consequence table (negligible, minor, moderate, major, catastrophic). Explain why you
have selected the criteria/objectives in your table (e.g. why is cost in your consequence table).(Reminder: the
consequence table is used to analyse the consequence of all risks on your project, not just your selected risk).
Note: Examples of consequence table provided in paper 4 but you must create your own that is applicable to
your specific project objectives)
B. Qualitative Risk Analysis requires the use of 3 tables. Using
Likelihood table (copy into your assignment- see next page)
Consequence table from 2A above,
Likelihood-Consequence table (copy into your assignment- see next page)
For your selected risk, explain and fully justify:

level of consequences;

level of probability;

3. RISK TREATMENT- For your chosen risk:

Describe 3 possible treatment strategies , fully assess each treatment then select/reject these treatments

Fully explain and reflect on the level of residual risk based on the application of the selected treatment(s)

Identify and analyse one possible secondary risk from your selected treatment(s), and its treatment

4. Produce a RISK REGISTER, containing details for your selected risk and reflecting ALL the above
PART B Reflection (This can be a different project to Part A)
5. CRITICAL ANALYSIS Select a major risk event that has eventuated on a project that you have has involvement
in. Reflect and Critically analyse (dont just report the facts) the quality of the risk management. e.g. what risk
management occurred? Was it good or bad risk management? Why? What should have been done? Etc

Date due See unit outline

Marking Sheet
1. Identification
2. Analysis

3. Treatment

description of risk event (and context)

description of 2 key causes

Consequence Table Create and explain criteria used

10

Justifications for level of likelihood

10

Justifications for level of consequence

10

Treatment strategies
diversity/appropriateness/description,

evaluation/selection

14

Residual risk level

10

One Secondary risk & its treatment

10

4. Risk Register

5. Critical Analysis

Major risk

15

Length 2500-3500 words approximately.

The assignment must be typed on A4 paper (using one side only) in 1.5 spacing typing and presented with a cover
sheet setting out your name, lecturer's name, unit title and the topic of the assignment. All pages should be
numbered. All assignments should be thoroughly checked for typing, spelling and grammatical errors before being
submitted. Submitted through Turnitin
Cut/Paste the two tables below into your assignment

DESCRIPTOR

CRITERIA / OBJECTIVE

Almost Certain

The event is expected to occur in most circumstances

Likely

The event will probably occur in most circumstances

Possible

The event should occur at some time

Unlikely

The event could occur at some time

Rare

The event will only occur in exceptional circumstances

LIKELIHOOD TABLE

RISK RATING

Insignificant

Minor

Moderate

Major

Catastrophic

Almost Certain

Moderate

Moderate

High

Extreme

Extreme

Likely

Low

Moderate

High

High

Extreme

Possible

Low

Moderate

Moderate

High

High

Unlikely

Low

Low

Moderate

Moderate

Moderate

Low

Moderate

Moderate

Rare
Low
Low
LIKELIHOOD-CONSEQUENCETABLE