Risk Business Process
Use the Risk business process to record and prioritize all the risks that can occur in a project, and to propose and track the status of potential risks. Score risks using the risk matrix for both pre- and post-response plans.
Characteristics
This is a Project-level business process without a workflow, provided in the system template.
Record Statuses
| Status | Resulting State |
|---|---|
| Active | non-terminal |
| Impacted | non-terminal |
| Managed | non-terminal |
| Open | non-terminal |
| Proposed | non-terminal |
| Rejected | non-terminal |
Related Processes
The Risk business process might create the following business processes: Action Item, Issue
The Risk business process might be created by the following business processes: Request for Information
Creating a Risk Record
Create a Risk record by navigating to Project Management / Risk on the Project/Shell tab, or from the Tasks log on the Home tab or relevant Project/Shell tab.
Complete the Risk form and attach related documents, if needed. After completing the form, select Save to create a record and keep it in editable mode, or select Submit if you are finished and ready to commit the record.
Note:
You must enter a value in all required fields (*) before you can save the form.- Go to your Project tab, and switch to User mode.
- In the left Navigator, select Project Management, and then select Risk.
- On the Risk page, select Create. Refer to the tables below to complete the form. You can select Save at any time to create a record and keep it in editable mode.
- To add attachments, go to the Attachments tab, and select Attach Files
.
- After completing the form, select Submit.
Completing the Risk Form
Key Information
Key information about this Risk is provided below.
| Field Name | Access | Description |
|---|---|---|
| Title | Required | Title of the record |
| Status | Required | Required Risks initially begin with a Proposed status until they are reviewed. Following a review, they can be set to either Open (identified as a valid risk) or Rejected (not a valid risk). After the risk impacts the project, it should be set to Active. From there, it can either become Managed (it was successfully managed by the project team) or Impacted (it impacted the project). |
| Risk Type | Required | The type of risk for risk process |
| Risk Priority | Editable | The Risk Priority list from the drop-down list |
| Risk Category | Editable | The Risk Category list from the drop-down list |
| Contract | Editable | The contract that is a reference to this record |
| Pre-Response Probability of Occurrence | Editable | The probability of the risk occurring, before mitigation actions are taken |
| Cost Exposure | Read-Only | Determines cost exposure through multiplying the potential cost amount by the pre-response probability for the risk |
Description
This information might appear in any formal printouts of this item.
| Field Name | Access | Description |
|---|---|---|
| Short Description | Editable | Enter a description of 250 characters or fewer. |
Cost & Schedule Information
Estimate the impact this risk will have on the cost and schedule.
| Field Name | Access | Description |
|---|---|---|
| Cost Impact | Editable | Indicates whether there is a cost impact |
| Schedule Impact | Editable | Indicates whether there is a schedule impact |
| Owner Estimate | Editable | If there is a cost impact, this field shows the total amount of the cost impact. |
| Est. Schedule Impact (Days) | Editable | If the schedule is impacted, this field indicates the number of days that impact the schedule. |
| Cost Impact Notes | Editable | If there is a cost impact, this field describes the reason. |
| Schedule Impact Notes | Editable | Description of why the schedule is impacted, if a schedule impact is indicated |
Action to Resolve
Enter information about how this Risk will be resolved.
| Field Name | Access | Description |
|---|---|---|
| Proposed Action to Resolve | Editable | The proposed actions to resolve the risk |
| Actual Action to Resolve | Editable | The actions that must be taken to resolve the risk |
| Forecasted Resolution Date | Editable | The date when the issue threat has been eliminated, is no longer present, or is resolved independently |
| Actual Resolution Date | Editable | Actual date of Issue Resolution |
| Planned Response Cost | Editable | The risk planned response cost |
| Actual Response Cost | Editable | The actual cost to respond to the risk |
| Post-Response Probability of Occurrence | Editable | The probability of the risk occurring, after mitigation actions are taken |
| Issue Record | Read-Only | Link to the created Issue record, after it is created from a Risk record |
Detailed Description
Enter a detailed summary of the cause, description, and effect of this risk.
| Field Name | Access | Description |
|---|---|---|
| Cause | Editable | The cause or source of the risk |
| Description | Editable | Description for risk process |
| Effect | Editable | The effect for risk process |
Risk Identification and Management
Information about the identification and management of the Risk
| Field Name | Access | Description |
|---|---|---|
| Identified By | Editable | The person who has identified the risk |
| Identified Date | Editable | The date the risk was identified |
| Risk Manager | Editable | The person currently assigned to manage the risk |
| Exclude from Reporting? | Editable | Used to exclude this record from some project or organizational reports |
Risk Exposure Window
Date range to define when the Risk might occur
| Field Name | Access | Description |
|---|---|---|
| Start Date | Editable | The start date if the risk can only occur as of a specific date (for example, weather events) |
| Finish Date | Editable | The finish date if the risk can only occur until a specific date (for example, weather events) |
Risk Matrix / Risk Scoring
This block can be used to calculate a score for this risk, based on the weightings set for this project.
| Field Name | Access | Description |
|---|---|---|
| Cost Impact Weighting | Read-Only | The weighting for the cost impact when calculating the risk score |
| Pre-Response Cost Impact | Editable | The likely cost impact of the risk before response |
| Post-Response Cost Impact | Editable | The likely cost impact of the risk after response |
| Schedule Impact Weighting | Read-Only | The weighting for the schedule impact when calculating the risk score |
| Pre-Response Schedule Impact | Editable | The likely schedule impact of the risk before response |
| Post-Response Schedule Impact | Editable | The likely schedule impact of the risk after response |
| Scope Impact Weighting | Read-Only | The weighting for the scope impact when calculating the risk score |
| Pre-Response Scope Impact | Editable | The likely scope impact of the risk before response |
| Post-Response Scope Impact | Editable | The likely scope impact of the risk after response |
| Reputation Impact Weighting | Read-Only | The weighting for the reputation impact when calculating the risk score |
| Pre-Response Reputation Impact | Editable | The likely reputation impact of the risk before response |
| Post-Response Reputation Impact | Editable | The likely reputation impact of the risk after response |
| Environmental Impact Weighting | Read-Only | The weighting for the environmental impact when calculating the risk score |
| Pre-Response Environmental Impact | Editable | The likely environmental impact of the risk before response |
| Post-Response Environmental Impact | Editable | The likely environmental impact of the risk after response |
| Pre-Response Risk Score | Read-Only | The pre-response risk score is calculated from the pre-response criteria, based on the weightings specified for the project. |
| Post-Response Risk Score | Read-Only | The post-response risk score is calculated from the post-response criteria, based on the weightings specified for the project. |
Record Information
System information about this record
| Field Name | Access | Description |
|---|---|---|
| Record Number | Read-Only | System-assigned record number |
| Creator | Read-Only | Creator of this record |
| Creation Date | Read-Only | Date that the record was created |
| Record Last Update Date | Read-Only | Date that the record was last updated |
| Business Process Record URL | Read-Only | A shareable link to this record, for anyone with the necessary permissions |
| Project Name | Read-Only | Name of the project |
| Project Number | Read-Only | Unique Project Number |
Related Activity/Milestone
Schedule information of the selected activity/milestone
| Field Name | Access | Description |
|---|---|---|
| Activity/Milestone | Editable | Select the activity or milestone that should be used to track the planned and actual dates in this record. |
| Activity Name | Read-Only | The name of the selected activity/milestone from Project Schedule |
| Planned Start | Read-Only | The planned start date from the selected activity/milestone |
| Planned Finish | Read-Only | The planned finish date from the selected activity/milestone |
| Actual Start | Read-Only | The actual start date for the project from the schedule activity/milestone |
| Actual Finish | Read-Only | The actual finish date from the selected activity/milestone |
Currency
If the currency of this Risk is different from the project currency, specify it here.
| Field Name | Access | Description |
|---|---|---|
| Transaction Currency | Editable | If there are multiple currencies defined, use this field to specify a currency other than the project currency. |
| Rate in Project Currency | Read-Only | Exchange rate that will be used to calculate the Project Currency Amount. This will be set after the record is saved, submitted, or sent forward in the workflow. After it is set for a record, it cannot be changed. |
| Project Currency Amount | Read-Only | This field shows the amount of the transaction, according to the project currency. |
Consolidating Line Items
Risk line items can be consolidated from the following business processes:
- Budget Change
- Budget Transfer
- Change Order
- Change Request
- Contract
- Estimate
- Initial Budget
- Potential Change Order
- Risk
Completing the Detailed Cost Estimate tab
Cost Information
Cost breakdown for this risk. The Potential Cost Impact should be entered as a positive number. When calculating the Cost Exposure, Threats will appear as a positive number and Opportunities will appear as negative.
| Field Name | Access | Description |
|---|---|---|
| Cost Code | Required | Enter a cost code. |
| Code Name | Read-Only | Populates the code name of the selected cost code |
| Potential Cost Impact | Required | The full potential cost impact of the risk line item, not taking probability into account |
| Cost Exposure | Read-Only | Determines cost exposure through multiplying the potential cost amount by the pre-response probability for the risk. |
Description
Description for this Risk line item
| Field Name | Access | Description |
|---|---|---|
| Short Description | Required | Enter a description of 50 characters or fewer. |
| Detailed Line Item Description | Editable | Enter additional detailed information about the line item description field. |
Risk Information
Information from the Risk record. Updates to the Risk should be reflected here as well.
| Field Name | Access | Description |
|---|---|---|
| Risk Type | Required | The type of risk for risk process |
| Pre-Response Probability of Occurrence | Required | The probability of the risk occurring, before mitigation actions are taken |
Additional Information
Enter additional information specific to this Risk line item.
| Field Name | Access | Description |
|---|---|---|
| Spend Category | Editable | Select the spending category. |
| Work Package | Editable | Select the Work Package that this item will roll up to. |
Completing the Response Actions tab
Key Information
Key information for this response action
| Field Name | Access | Description |
|---|---|---|
| Title | Required | Title of the record |
| Response Action Status | Required | Tracks the status of the response action |
| Assigned To | Editable | The action item will be assigned to this user for resolution on the next step of the workflow. |
Key Dates
Planned and Actual dates for the response action
| Field Name | Access | Description |
|---|---|---|
| Planned Start | Editable | Planned start date of the response action |
| Planned Finish | Editable | Planned finish date of the response action |
| Start | Editable | Start date of the response action |
| Finish | Editable | Finish date of the response action |
Description
Enter a brief description of the response action and provide further details on the detailed description field.
| Field Name | Access | Description |
|---|---|---|
| Short Description | Editable | Enter a description of 250 characters or fewer. |
| Detailed Description | Editable | The detailed information about the short-description field. The field size can be expanded. |
Action Item
Create an Action Item on a given date, assigned to the response action manager above.
| Field Name | Access | Description |
|---|---|---|
| Create Action Item? | Required | Determines whether an action item should be created for this record or line item |
| Create Action Item On | Required | Date when the Action Item should be created |
| Target Completion Date | Editable | The target completion date for the action item. To be updated as needed, particularly when re-assigning an action item. |
| Action Item Priority | Editable | An integer value representing the priority of the action item |
| Action Item Record | Editable | Link to the created Action Item record, after it is created |