Project Risk Monitoring and Control

Technical Performance Analysis

This technique compares technical accomplishments against the original objectives defined during planning. If a technical objective—such as a software module failing to produce a required barcode—is not met, it signals a technical deviation that may indicate a looming risk to the project scope.

Reserve Analysis

Project managers must manage contingency reserves, which are funds, time, or resources set aside to offset unavoidable threats or opportunities. Reserve analysis examines the remaining reserves and compares them to the remaining risks to ensure there is enough "buffer" to cover potential issues through the end of the project.

Risk Audits and Meetings

Risk audits are performed by trained auditors (who are typically not members of the project team) to evaluate the effectiveness of the risk management process and the implementation of response plans. Complementing these audits are periodic meetings, where the team reassesses the impact and probability of existing risks and closes out those that are no longer relevant.

Managing Deviations: Changes and Workarounds

When monitoring reveals that the project is drifting from its plan, the project manager must take action. The outputs of the Monitor Risks process often include work performance information, which compares actual risk performance against the plan.

If the monitoring process indicates that a change is necessary, the manager may issue change requests through the formal Integrated Change Control process. These requests typically take two forms:

1. Corrective Actions: Actions taken to realign the project performance with the management plan.
2. Preventive Actions: Actions taken to ensure future performance stays aligned with the plan.

In cases where an unplanned risk occurs and no formal response plan exists, the project manager may implement a workaround. A workaround is an unplanned response to a negative risk event intended to deal with the consequences in a productive and efficient manner.

Exam Tip: Remember that while "Implement Risk Responses" is about the action taken by a risk owner, "Monitor Risks" is about the oversight to see if those actions are working.

Documenting the Evolution of Risk

Risk management is not a "set it and forget it" activity; it is an ongoing process. As new information becomes available, several project documents must be updated:

• Risk Register: Updated with new risks, updated response plans, or risks that have been closed.
• Risk Report: Updated to reflect the current status of individual risks, the overall project risk level, and the effectiveness of response plans.
• Assumption Log and Lessons Learned Register: Updated to reflect changes in project assumptions or new knowledge gained during the process.

By maintaining these documents, the project manager ensures that all stakeholders are aware of the current risk exposure and that the project's strategy remains valid throughout its duration.