Hi carla

Managing risks always seems so complicated, but it doesn't have to be that way. To show you how to simplify your risk planning on projects, read on to learn...

How to Manage Project Risks

Here's the scenario. You just bought a brand new car! It's the car you've been wanting for years and there it is, tucked safely away in your garage. It will be fun to show everyone at work the next morning. At the thought of parking at work, you become concerned about the paint getting scratched. What options do you have in dealing with this risk?

Accept the Risk of Your Car Being Scratched
An obvious response is just to accept the risk. It won't change what time you go to work or where you park. You will just hope that nobody parks too close or rubs up against your brand new car. In the event that somebody does scratch it, you'll cross that bridge when you come to it. Before that, you're not even going to think about it.

Avoid the Risk of Your Car Being Scratched
Don't like the idea of accepting the risk? Another choice is to avoid the risk altogether. You can do this by not going back to work, and keeping the car in the garage. Never letting your car see the light of day will nearly guarantee that your car won't be scratched.

Mitigate the Risk of Your Car Being Scratched
If avoiding risk is not an option, you could just lessen the chances of the risk occurring. Rather than leave your house when the traffic is the heaviest, you could leave an hour later to put more space between you and the cars around you. When you do make it to work, you could also park WAY over in the corner about a mile from the office where nobody else parks. Both steps would greatly reduce the risk of your new car being scratched.

Transfer the Risk of your Car Being Scratched
A final choice is to put someone else's car at risk of being scratched. That's right, call a taxi! You can pay someone else to remove the risk to your new car, and transfer it to someone else. They can decide how they want to handle the risk.

The bottom line is that you have choices in how you respond to risk. The choices you make will be commensurate to the level of risk you are willing to take.

You can do the same thing with all the risks associated with your project. Ask yourself how you will deal with each one, and which ones you are willing to accept. This will leave you with a short list that you'll need to have plans in place for if they do occur.

There's no reason to accept any risk when it comes to selecting the right project management software. TryProjectManager.com FREE for 30 days and find out how easy it is to track and act upon and remove the risks that could be troublesome for your project.

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