Comments on: Risk Management Approaches http://www.pmhut.com/risk-management-approaches Thu, 24 May 2012 10:27:52 +0000 http://wordpress.org/?v=abc hourly 1 By: Glen B. Alleman http://www.pmhut.com/risk-management-approaches/comment-page-1#comment-713 Glen B. Alleman Wed, 09 Jul 2008 14:27:38 +0000 http://www.pmhut.com/risk-management-approaches#comment-713 Karl, Another small issue. The DoD Risk Management Guide, http://www.sei.cmu.edu/programs/acquisition-support/publications/dod-riskguide.pdf is the source for Risk Management. http://herdingcats.typepad.com/my_weblog/2007/05/risk_management.html has the diagram for structuring a risk management process. Risk avoidance is one of 4 mitigation choices, rather than a risk management activities. The activity is "mitigation." In the current paradigm, "risk retirement" is a better choice, with the retirement activities built into the schedule, complete with funding and resources. Glen B. Alleman VP, Program Planning and Controls Defense and Space Lewis & Fowler, Denver Colorado Karl,
Another small issue. The DoD Risk Management Guide, http://www.sei.cmu.edu/programs/acquisition-support/publications/dod-riskguide.pdf is the source for Risk Management.
http://herdingcats.typepad.com/my_weblog/2007/05/risk_management.html has the diagram for structuring a risk management process.
Risk avoidance is one of 4 mitigation choices, rather than a risk management activities. The activity is “mitigation.” In the current paradigm, “risk retirement” is a better choice, with the retirement activities built into the schedule, complete with funding and resources.

Glen B. Alleman
VP, Program Planning and Controls
Defense and Space
Lewis & Fowler, Denver Colorado

]]> By: Glen B. Alleman http://www.pmhut.com/risk-management-approaches/comment-page-1#comment-712 Glen B. Alleman Wed, 09 Jul 2008 14:13:08 +0000 http://www.pmhut.com/risk-management-approaches#comment-712 Karl, Great series. While the information provides valueable insight into the world of risk management, the multiplication of probability of occurance and the consequences of the occurance is no longer allowed in defense and space risk management. Both the numbers are random variables, drawn from an underlying probability distribution. The operation of "multiplication" can not be performed on them. Although PMBOK and others describe such actions, the DOD PMBOK has removed that chapter and replaced it with the correct approach. This guidebook can be found on the web under "dod pmbok" The primary source of this correctde approach is Edmund Conrows work for the DoD Risk Management Guide and his text http://www.risk-services.com/. A 5x5 matrix with the Green/Yellow/Red cells predefined for the 5 levels of assessment is now mandatory on all defense and space risk management processes. Glen B. Alleman VP, Program Planning and Controls Defense and Space Lewis & Fowler, Denver Colorado Karl,
Great series. While the information provides valueable insight into the world of risk management, the multiplication of probability of occurance and the consequences of the occurance is no longer allowed in defense and space risk management. Both the numbers are random variables, drawn from an underlying probability distribution. The operation of “multiplication” can not be performed on them. Although PMBOK and others describe such actions, the DOD PMBOK has removed that chapter and replaced it with the correct approach. This guidebook can be found on the web under “dod pmbok”
The primary source of this correctde approach is Edmund Conrows work for the DoD Risk Management Guide and his text http://www.risk-services.com/.
A 5×5 matrix with the Green/Yellow/Red cells predefined for the 5 levels of assessment is now mandatory on all defense and space risk management processes.

Glen B. Alleman
VP, Program Planning and Controls
Defense and Space
Lewis & Fowler, Denver Colorado

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