Its main objective is to allow the project team to have a clear and detailed understanding of the potential risks that may arise during project execution. By anticipating and preparing for these risks, the project team can minimize their impact or avoid them altogether.
To identify risks, it is important to consider the following stages:
- Identification of risks: all possible risks that may affect the project should be identified. This includes risks internal and external to the project, as well as risks that may arise due to political, economic, social, technological, legal, or environmental factors.
- Risk analysis: once the potential risks have been identified, the probability of their occurrence and the impact they would have on the project should be evaluated. This helps to prioritize the risks and determine which ones are most critical.
- Development of response strategies: once risks have been identified and analyzed, response strategies should be developed for each of them. These strategies may include transferring the risk to another team, mitigating the risk, accepting the risk, or avoiding the risk.
- Monitoring and control: during project execution, it is important to continuously monitor risks and update response strategies as needed. This helps to ensure that the project is always prepared to face any risk that may arise.
It is important to note that risk identification is not a static process. Risks can arise at any time during project execution, so it is important to be attentive to changes in the environment and constantly update risk identification and response strategies accordingly.
There are several techniques that can help facilitate risk identification in a project. Here are some common techniques for this purpose:
- Document review: involves a thorough review of relevant project documentation, including plans, specifications, reports, among others, to identify potential risks.
- SWOT analysis: is a technique used to identify internal and external factors that may affect project success. Internal factors are the strengths and weaknesses of the organization, while external factors are the opportunities and threats presented in the project environment.
- Brainstorming sessions: is a group technique that allows participants to share ideas and perspectives on the possible risks of the project. Participants may include project team members, stakeholders, subject matter experts, among others.
- Interviews: individual or group interviews can be a good way to obtain detailed information about potential project risks. Interviewees may include project team members, stakeholders, subject matter experts, among others.
- Ishikawa diagram: also known as a "fishbone diagram," is a technique used to identify possible causes of a problem. In the context of risk management, the Ishikawa diagram can be used to identify the underlying causes of potential project risks.
- Historical analysis: analyzing similar projects completed in the past can help identify potential risks in the current project. Historical analysis may include reviewing documentation from similar projects, interviewing members of similar project teams, among others.
It is important to note that these techniques may vary depending on the type of project and specific circumstances, and it may be necessary to use a combination of techniques to effectively identify potential project risks.
SWOT Analysis (Strengths-Opportunities-Weaknesses-Threats)
SWOT Analysis is a tool used to evaluate the current situation of a company, project, product, or service. SWOT stands for Strengths, Opportunities, Weaknesses, and Threats, and the analysis focuses on identifying these four elements in order to make strategic decisions and develop effective action plans.
SWOT analysis is divided into two categories: internal factors and external factors. Strengths and weaknesses are considered internal factors, that is, elements within the company or project that can be controlled or improved. Opportunities and threats are considered external factors, that is, elements outside the control of the company or project but that must be considered when making strategic decisions.
The following are descriptions of each of the four elements of SWOT analysis:
- Strengths: These are the positive internal aspects that highlight the company or project. They may include competitive advantages, resources, specific skills or experience, or any other internal aspect that the company or project can leverage to achieve its objectives.
- Opportunities: These are the positive external factors that can be leveraged for the benefit of the company or project. They may include changes in the market, new technologies, changes in government regulation, among others.
- Threats: These are the negative external factors that can affect the performance of the company or project. They may include changes in competition, changes in the market, changes in government regulation, among others.
- Weaknesses: These are the negative internal aspects that can limit the performance of the company or project. They may include lack of resources, specific skills or experience, quality issues, among others.
To conduct a SWOT analysis, the following steps are recommended:
- Identify the relevant internal and external factors for the company or project.
- Identify the internal strengths and weaknesses.
- Identify external opportunities and threats.
- Conduct a cross-analysis of the four elements to identify how strengths and opportunities can be leveraged, and how weaknesses and threats can be minimized.
- Develop an action plan based on the SWOT analysis to improve the current situation of the company or project.
SWOT analysis is a useful tool for making strategic decisions, as it allows the identification of the strengths and weaknesses of a company or project, as well as the opportunities and threats in the environment. By knowing this information, it is possible to develop effective and efficient action plans to achieve the proposed objectives.
The Ishikawa Diagram, also known as the Fishbone Diagram or Cause-and-Effect Diagram, is a visual tool used in quality management to identify and analyze the possible causes of a specific problem.
The diagram takes its name from Dr. Kaoru Ishikawa, a quality control expert in Japan who developed it in the 1960s. The tool is often used in problem solving and continuous process improvement.
The Ishikawa Diagram consists of two main parts: the "spine" and the "branches":
- The spine is a central line that represents the problem or effect being analyzed.
- The branches are lines that extend from the spine and represent the different categories of possible causes of the problem. These categories can be related to:
Once the categories have been established, possible causes are added to the corresponding branches. These causes can be identified through brainstorming with the team or through data and statistical analysis.
Once all possible causes have been added, an analysis process is carried out to determine the most likely causes of the problem. This can be done using techniques such as Pareto analysis or impact matrix.
Once the most likely causes have been identified, corrective measures can be implemented to address the problem. These measures may include changes in processes, staff training, modification of materials used, among others.
The Ishikawa Diagram is a useful tool for visualizing and analyzing the possible causes of a specific problem and for developing effective and collaborative solutions.
The Pareto Analysis, also known as the 80/20 rule, is a technique used to identify and prioritize the main problems or causes that contribute to a specific problem or outcome. It was developed by the Italian economist Vilfredo Pareto in the 19th century.
The Pareto Analysis technique is based on the observation that most problems (approximately 80%) in a system are caused by a relatively small number of main causes (approximately 20%). Therefore, Pareto analysis is used to identify these main causes and focus efforts on addressing them, rather than wasting resources on less important problems.
The process for conducting a Pareto Analysis is as follows:
- Identify the specific problem or outcome to be analyzed
- Collect data on the problem or outcome
- Classify the data into relevant categories
- Calculate the total percentage of each category
- Order the categories in descending order by their percentage
- Plot the results on a bar chart where the vertical axis represents the percentage of each category and the horizontal axis represents the categories in descending order
- Analyze the chart to identify the main categories contributing to the problem or outcome
The result of a Pareto Analysis is a diagram that shows the relative contribution of each cause or category to the problem or outcome in question. This allows project managers or teams to identify the main causes and focus their efforts on addressing them.
This type of analysis is widely used in many fields and is applied to a wide range of situations, from business management to technical problem-solving. By understanding the main causes contributing to a problem or outcome, efforts and resources can be prioritized to address them more effectively and efficiently.
The impact matrix, also known as the influence matrix or Leopold matrix, is a technique used in project management to identify and evaluate the effects of different actions on a particular project.
In the context of software development, the impact matrix is used to evaluate the impact of a proposed change on existing software. The software development impact matrix typically includes a list of the system modules or components and a list of the requirements, features or functionalities that are to be changed. Each module or component is evaluated to determine if it is related to the requirements that will be changed, and if so, the impact that the change would have on that module or component is evaluated. The result is recorded in the matrix in the form of an impact rating.
For example, if a new functionality is to be added to the software, an impact matrix could be created to evaluate the impact that the new functionality would have on the different modules of the system. It could be evaluated if the new functionality would require changes in the existing code, if it would affect the user interface, or if it would have any effect on the performance of the system. These factors would be evaluated for each module and recorded in the impact matrix.
The impact matrix is a useful tool for identifying potential problems that could arise as a result of a change in the software and for helping developers make informed decisions about how to proceed. With this technique, possible risks can be identified and work can be prioritized based on the impact it would have on the system.