First we need to look at the various sources of risks. There are many sources and this list is not meant to be inclusive, but rather, a guide for the initial brainstorming of all risks. By referencing this list, it helps the team determine all possible sources of risk.
Various sources of risk include:
- Project Management
- Top management not recognizing this activity as a project
- Too many projects going on at one time
- Impossible schedule commitments
- No functional input into the planning phase
- No one person responsible for the total project
- Poor control of design changes
- Problems with team members.
- Poor control of customer changes
- Poor understanding of the project manager’s job
- Wrong person assigned as project manager
- No integrated planning and control
- Organization’s resources are overcommitted
- Unrealistic planning and scheduling
- No project cost accounting ability
- Conflicting project priorities
- Poorly organized project office
- External
- Unpredictable
- Unforeseen regulatory requirements
- Natural disasters
- Vandalism, sabotage or unpredicted side effects
- Predictable
- Market or operational risk
- Social
- Environmental
- Inflation
- Currency rate fluctuations
- Media
- Technical
- Technology changes
- Risks stemming from design process
- Legal
- Violating trade marks and licenses
- Sued for breach of contract
- Labour or workplace problem
- Litigation due to tort law
- Legislation
- Unpredictable