Risk Register Analyse the benefits of Risk Management Tool

Question: Analyse the benefits and limitations of using the selected risk register for project risk monitoring and control for the project you chose for your Final Project. Answer: Risk register A risk register or risk log is a risk management tool that presents various risks identified at the beginning or during the life of the project. It can be represented as a scatter plot or in tabular format and it enables the project manager or other risk facilitators to manage risk situations or events effectively and efficiently. It also classifies and grades the risks in terms of probability of occurrence and the seriousness of its impact on the project (Pritchard and PMP 2014). For this report, an example of the risk register has been critically evaluated. Further, analysis of the benefits and limitations of the selected risk register for project risk monitoring and control is undertaken. In addition, a revised version of the selected risk register has been presented in manner that would address the most severe limitations of the selected risk register. Link https://www.projectmanagementdocs.com/project-planning-templates/risk-register.html#axzz4BAQyWg00 In the link above, the risk register has been formulated as Risk Identification Qualitative rating Risk response Risk Risk category Probability Impact Risk score Risk ranking Risk response Trigger Risk owner Loss of key employee Project risk Low High - - Recruitment of key employees Conflicts at the work place Project manager Increase in the prices of raw materials Business risk Medium High - - Cost control measures to keep the overall cost of the project balanced Pricing trends in the market, governmental policy change Project manager The above risk register enables the risk facilitators to identify and categorise the risks that the project may face during the project life cycle. Further, the likelihood of occurrence of risk and its impact on the project success is presented. Further, risk ranking and risk score aims at presenting a quantitative value of the identified risks. Lastly, triggers, risk response and risk owner represents what are the symptoms, action taken and who is responsible for mitigation of the identified risks are The benefits of above risk register for project monitoring and control can be seen as it allows all the important data or information about the projects risk at a single table. The tabular representation of risk registry also enables the projects risk management stakeholders a clear picture of the risk associated with the project and view present status of each risk, at any point in time (Hillson and Simon 2012). The limitation of the above risk register is that it does not take into account the quantifiable risk elements. In presenting qualitative values of the risk suffers from the expertise and experience of the project manager or risk facilitators. This limitation has been addressed in the revised risk register that presents both qualitative and qualitative data about the identified risks. Further, in the above selected risk register model does not presents a contingency plan, in case the control measures fails to address the issues related to the identified risks (Kerzner 2013). Revised risk register Risk No. Date identified Risk description Owner Triggers Probability Impact Risk rating Control measures Contingency plan Mitigation techniques 1 5/5/2016 Loss of key employee Project manager Job discontentment Low High - Recruitment of back up employees Third party arrangement Mitigate 2 20/5/2016 Increase in input material cost Project manager/ procurement officer Market trends, inflation, governmental policy change Medium High - Cost control measures Contracting the supplies of raw materials Transfer References Hillson, D. and Simon, P., 2012.Practical project risk management: The ATOM methodology. Management Concepts Inc.. Kendrick, T., 2015.Identifying and managing project risk: essential tools for failure-proofing your project. AMACOM Div American Mgmt Assn. Kerzner, H.R., 2013.Project management: a systems approach to planning, scheduling, and controlling. John Wiley Sons. Pritchard, C.L. and PMP, P.R., 2014.Risk management: concepts and guidance. CRC Press.