Risk Management Plan

The general structure of risk management plan for virtual city projects is consisted of Risk Identification, Risk Analysis and Risk Mitigation.

            Risk Identification

            Risk Analysis

·        Qualitative Risk Analysis and Mapping All Risks to Quantitative Risks

      Risk Mitigation

·        Risk Response Planning

·        Risk Monitoring and Control

Risk Identification

Each department has weekly meetings in which they will talk about all received data from the project during the last week and if there is a risk that would affect the project, it will be notified. This risk would be evaluated with the risk management team and will receive an importance grade. There are four distinct levels that are described as follows:

·        Level 4 risks are not considered as a risk and are only open questions to be evaluated by the responsible team and then put in one of the levels 1 to 3.

·        Level 3 risks are minor problems

·        Level 2 risks can affect the quality of the project or may delay the project

·        Level 1 risks are risks that may stop the project.

This table should be filled weekly by the risk management team:

Risk Analysis

For risk analysis, we simply consider transform any qualitative risk to quantitative risk. Each of the level 1 to level 4 has a value. We have given below, the basic points for each risk level.

Level1: 8 points, Level2: 6 points, Level3: 3 points, level 4: 0 points

With above basic scores we animate the overall situation in different weeks during the project and make a graph which can show the total problems as well as the solutions proposed in the system in each period of project and it is possible to classify the risks for each department as well. It will be used further in management meetings. Of course for monitoring there are other scores that would be mentioned in monitoring risks in more details.

The qualitative analysis is done in the weekly meetings and each problem will be categorized under each risk level with above mentioned definitions.

Risk Mitigation

Risk Response Planning

This step includes proposing solutions for each existing problem and will be traced in weekly meetings, but can be proposed anytime before weekly meetings as well.

Risk Monitoring

There are four states for any risk level and in each state a special value would be assigned for better monitoring the risk management process:

Of course graphs on each of the four states of risks during the project life would be used by the risk management team.