if you like to be a risk manager read and watch this lesson 1

1. 1. a) What is Risk management planning? (5 Marks)
b) Examine the inputs when planning to
manage risk? (10 Marks).
c) Explain the goal of project management when
considering inputs in the risk management plan?
(5 Marks)
2. Assess the process of risk management
planning?
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2. 5. Telesom company of Somaliland after careful scanning of
future environment of business, has realized soon there will
come a new entrant in the industry of mobile telephony. It is
expected the third subscriber will come with better capacities
and might eat into their market share.
In order to manage the risk a decision needs to be made
between the following three options;
Update current software at a cost of US$ 500,000
Buy new software at a cost of US$ 750,000
Stay with existing software and incur maintenance cost of
US$ 100,000
Show how you would arrive at analysis of risks and make the
most beneficial decision to company by use of technique of
decision trees. (20 Marks
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9. Risk Management Planning – Inputs
a) Enterprise Environmental Factors: The attitudes
toward risk and the risk tolerance of organizations and
people involved in the project will inf luence the project
management plan.
b) Organizational Process Assets:
Organizations may have predefined approaches to
risk management such as risk categories, common
definition of concepts and terms, standard templates,
roles and responsibilities, and authority levels for
decision-making
c) Project Scope Statement
Total expected deliverables, objectives and other
areas to be covered by the project must be clearly stated
in order to be clear on the limits and boundaries. Any
assumptions inherent need to be declared 9

10. Risk management requires management plan
on the right structure that facilitates integration
of all processes i. e. HRM, cost schedules, quality
management, time and scope management.
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17. RISK MANAGEMENT PLANNING -
Process of deciding how to approach
and plan the risk management activities
for a project. Risk Management Planning
process is a part of "Project Planning
Phase".
Planning Meetings and
Analysis: Attendees are the PM,
leadership team, key stakeholders and
those in the organization responsible to
manage project risks.
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