Using the Risk Management solution allows organizations to:
Risk Analysis is the central workspace where risks are managed. Each Risk Analysis defines the scope of the assessment and acts as the central place to document, track, and manage risks related to a specific project or contract.
Within this context, risks are registered, consequences are assessed, and responses are defined. The analysis includes version control, review statuses, and evaluation methods to ensure consistency and traceability throughout the process.
Risk scoring can be configured using probability levels, impact levels, and assessment thresholds. Organizations can use simple rating scales or define weighted formulas that calculate severity ratings, risk exposure, and opportunity potential. The system supports both Single Point and Three-Point analysis methods to accommodate varying levels of estimation detail.
Default values can be configured to streamline the setup of new risk analyses. These include settings such as review frequency, time unit for delays, and weighting factors for cost estimation. These defaults ensure consistency while allowing adjustments as needed for each project or analysis.
The first step in managing risks is to identify potential events that could impact the project. Each risk is registered and categorized for easier tracking, reporting, and ownership. Risks are then assessed to estimate the likelihood of occurrence and potential impact on cost and time.
Each risk is classified by Risk Type—either a Threat (potential negative impact) or an Opportunity (potential positive outcome). Both types are managed within the same risk register and follow the same workflow.
Each risk may have one or more Consequences, which represent specific outcomes if the risk occurs. These consequences are assessed using rating scales or precise values for:
The system calculates a Severity Rating, based on the formula:
Severity Rating = Probability × Impact
Depending on the risk type, the system also calculates:
This structure enables a comprehensive understanding of risk exposure and prioritization based on project objectives.
For each consequence, one or more Responses can be defined. These are strategies to reduce the likelihood or impact of a threat, or to enhance the value of an opportunity. Each response may include estimated implementation costs to support evaluation and decision-making. To ensure responses are executed, Actions can be assigned. Actions define specific tasks, responsible persons, and deadlines. They can be created when defining a response or added later as part of ongoing review. This structured chain—Risk → Consequence → Response → Action—ensures that risks are not only assessed but actively managed through clear, trackable steps.
Projects are dynamic in nature. Consequently, the risks associated with a project are also dynamic and must be continuously reviewed. In many ways, risk management is like planning—constantly evolving and requiring reassessment to remain effective. Regular review helps teams adjust priorities, update actions, and respond to changes as they occur. This ensures that both threats and opportunities are actively managed throughout the project lifecycle.