1. RISK MITIGATION, MONITORING, AND
All of the risk analysis activities presented to this point have a single goal—to assist
the project team in developing a strategy for dealing with risk. An effective strategy
must consider three issues:
• Risk Mitigation
• Risk Monitoring
• Risk Management And Contingency Planning
A systematic reduction in the extent of exposure to a risk and/or the likelihood of its
occurrence. Also called risk reduction. Risk Mitigation covers efforts taken to reduce
either the probability or consequences of a threat. These may range from physical
measures (protective fences) to financial measures (stockpiling cash, insurance).
Risk Mitigation Plan
The risk mitigation plan is also called a risk response plan. The plan tells how specific
risks will be dealt with and the action or steps that are required to carry them out. The
risk mitigation plan is often used in the project management software as a series of
tasks in addition to those that were already on the original activity list. As risks are
about to happen, the plan identifies what actions should occur and who is responsible
for carrying out those action.
Benefits of Mitigation Planning
1- Increases public awareness and understanding of vulnerabilities as well as
support for specific actions to reduce losses from future natural disasters.
2- Builds partnerships with diverse stakeholders, thereby maximizing opportunities
to leverage data and resources, which can help reduce workloads and achieve
2. shared community objectivesIt is a strategy devised to minimize, to the lowest
level possible, any risks to an enterprise while still managing to maintain the
optimum output and delivery of labor, goods, services, etc
Risk Mitigation Strategies
Risk mitigation strategies are the action plans we create after making a thorough
evaluation of the possible threats, hazards or detriments that can affect a project, a
business operation or any form of venture. The purpose of such strategies is to lessen or
reduce, if not totally eliminate the adverse impacts of the known or perceived risks
inherent in a particular undertaking, even before any damage or disaster takes place.
Best practices require that the known and perceived risks be analyzed according to the
degree and likelihood of the adverse results that are anticipated to take place. NFF
documents such risks according to their levels of priority in a form known as a risk
mitigation plan. NFF then develops and integrates a corresponding risk mitigation
strategy, which will be referenced against the previously prepared risk management
Each critical point identified shall have a set of mitigation strategies incorporated in its
procedural guidelines. The risk mitigation strategies are contained in a crisis
management plan and shall form part of the initial emergency measures to take, in
order to contain and prevent the worsening of the damages caused by an accident or
A process of regular review to ensure that:
New risks are identified and considered as they arise.
Existing risks are monitored to identify any changes which may impact on the
New risk controls are being implemented according to the planned schedule.
Existing risk controls are still in place and working effectively.
3. That information on risks is adequately communicated to appropriate parties, in
particular the Vice-Chancellor and the Audit and Risk Management Committee.
Risk monitoring and control continues on though a project until the project is
complete. Risk monitoring and control is the process of identifying and analyzing
new risk, keeping track of these new risks and forming contingency plans in case
they arise. It ensures that the resources that the company puts aside for a project
is operating properly.
Risk monitoring and control is important to a project because it helps ensure that
the project stays on track. Individual project team members or stakeholders are
"individuals or organizations who stand to gain or lose from the success or failure
of a system". Risk Monitoring and control process ensures the success of the
There are many different types of software you can use track risks, it can be a
simple spreadsheet to a complex database. The key to Risk Monitoring and
Control is communication among the team members, identifying potential risks
bringing them to the project team, analyzing the risks, and planning for them as
The Risks we encounter in a project should be resolved so that we are able to deliver the
desired project to the customer. The project should be managed in such a way that the
risks don’t affect the project in a big way. The art of managing of the risks effectively so
that the WIN-WIN situation and friendly relationship is established between the team
and the customer is called Risk Management. By using various paradigms, principles we
can manage the risks.
The Principles of Risk Management
1. Global Perspective: In this we look at the larger system definitions, design and
implementation. We look at the opportunity and the impact the risk is going to
4. 2. Forward Looking View: Looking at the possible uncertainties that might creep
up. We also think for the possible solutions for those risks that might occur in the
3. Open Communication: This is to enable the free flow of communication
between in the customers and the team members so that they have clarity about
4. Integrated management: In this phase risk management is made an integral
part of project management.
5. Continous process :In this phase the risks are tracked continuously throughout
the risk management paradigm.
Risk Management Paradigm
1. Identify: Search for the risks before they create a major problem
2. Analyze: understand the nature , kind of risk and gather information about the
3. Plan: convert them into actions and implement them.
4. Track: we need to monitor the necessary actions.
5. Control: Correct the deviation and make any necessary amendments.
6. Communicate: Discuss about the emerging risks and the current risks and the
plans to be undertaken.
How To Manage the Risks
1. Determine risk sources and Categories.
2. Determine Risk Parameters
3. Establish a Risk Management Strategy
4. Identify Risks
5. Evaluate and prioritize the risks.
6. Develop and Implement Risk mitigation plans