The wording or articulation of each risk should follow a simple two-step approach:
1. Consider what might be a ‘trigger' event or threat (eg. ‘poor quality materials causes costs to rise') - several triggers may reveal the same inherent risk; then
2. Identify the risk - use a ‘newspaper headline' style statement - short, sharp and snappy (eg. ‘budget blow out') then describe the nature of the risk and the impact on the project if the risk is not mitigated or managed (eg. project delayed or abandoned, expenditure to date wasted, outcomes not realised, government embarrassed etc).
Developing a Risk Management Plan and the Risk Identification Tool for more information on how to undertake risk identification.
In this section specify:
- what risk identification process has been undertaken (ie. brainstorm, facilitated session, scan by Project Manager etc);
- any categories used to assist in the identification or relevant risks;
- when the risk identification process occurred; and
- who was involved.