Strategies for Threats vs Opportunities

1. Project Management
Key Concepts

2. Strategies for Threats
Vs
Strategies for Opportunities

3. What is it?
Strategies for threats and opportunities are plans of actions
that are considered for dealing with risks (both negative and
positive) in a project.
Strategies for Threats Vs Strategies for Opportunities

4. Strategies for Threats
1. Escalate
2. Avoid
3. Transfer
4. Mitigate
5. Accept
Strategies for Threats Vs Strategies for Opportunities
Strategies for Opportunities
1. Escalate
2. Exploit
3. Share
4. Enhance
5. Accept

5. Five strategies considered for dealing with threats:
Escalate
• Escalating the risk (or proposed response) to a
higher level that would be affected if the threat
occurred (i.e. Executive Manager or a Sponsor)
Avoid
• Risk avoidance is when we are moving or changing
the project objective to avoid the risk.
Strategies for Threats Vs Strategies for Opportunities

6. Strategies for Threats Vs Strategies for Opportunities
Transfer
• Transfer involves shifting ownership of a threat
to a third party (for a price) to manage the risk
and to bear the impact if the threat occurs (i.e.
Insurance)
Mitigate
• Taking action to reduce the probability of
occurrence and/or impact of a threat (using
things like prototyping, more tests, less complex
processes)

7. Strategies for Threats Vs Strategies for Opportunities
Accept
• Risk acceptance acknowledges the existence
of a threat, but no proactive action is taken.
• Acceptance may be appropriate for low-
priority threats, and may also be adopted
where it is not possible or cost-effective to
address a threat in any other way.

8. Five strategies considered for dealing with
opportunities:
Escalate
• When an opportunity is outside the scope of the
project or would exceed the project manager’s
authority.
Exploit
• The exploit strategy may be selected for high-priority
opportunities where the organization wants to
ensure that the opportunity is realized.
Strategies for Threats Vs Strategies for Opportunities

9. Strategies for Threats Vs Strategies for Opportunities
Share
• Sharing involves transferring ownership of an
opportunity to a third party so that it shares some
of the benefit if the opportunity occurs.
Enhance
• The enhance strategy is used to increase the
probability and/or impact of an opportunity.
• The probability of occurrence of an opportunity
may be increased by focusing attention on its
causes.

10. Strategies for Threats Vs Strategies for Opportunities
Accept
• Acceptance acknowledges the existence of
an opportunity, but no proactive action is
taken.
• Acceptance may be appropriate for low-
priority opportunities, and may also be
adopted where it is not possible or cost-
effective to address an opportunity in any
other way.