Last modified on July 12th, 2020
Risk Management in Software Project Management – Advantages Disadvantages
What is Risk Management?
The risk in a software project is a powerful or important problem, in future that may be turnout as loss of any kind i.e. poor performance of software, extra cost etc. and that may affect the result of the project.
To tackle these risks there is Risk Management.
Management is a central point that plays a critical role by planning new strategies to overcome these risks.
Risk Management actually a solution force for upcoming loses and to remove or minimize that lose.
When Risk Management Happens?
- A software project or development always required the use of new advanced technology and high level of knowledge.
- Risk rises as with the missing of these two factors.
- Instead of these factors, there will be some more external or internal risk for a manager.
- Then to overcome future lose, overcome the risk or to stop risks becoming issues, management called Risk Management will be in action.
Why Risk Management in Software Project Management is Important?
Ever software project contains some sort of riskiness that may threaten the success of a software project. Risk Management is an important part of a Software Project in a way to overcome the riskiness and to reduce or minimize the risks. A good Risk Management can plan good that may lead the Software project to its high level of success. Risk Management is also important in a way to save your project form future failures.
How does Risk Management work?
- Risk Management works in various steps and the first one is to identify the risk, in this process risk management makes the list of risk that might impact on the success of the project.
- Check the list of risk and believe that these ricks are actually effected the software project.
- Making plans and strategies to avoid or to get rid or these plans must execute in a way the management describes.
- Monitoring of project for reduction of more risks and to communicate with the software team on every single problem project faces.
Examples of Risk Management in Software Project Management
Let’s look on another example, let suppose it looks like the time frame of project increase from the time required or fixed for completion of the project due to short of missing of a key person, so Risk Management will be in action to tackle this overflow of time.
Advantages of Risk Management in Software Project Management
- You will be always aware of the upcoming risk, and be able to stop them from converting into issues in the future.
- Get rid of treats that software development may face during development time.
- The project will be delivered on time when Risk Management will take the project out of risk.
- Improves project planning and limits the project to the cost that is fixed for it and avoid form overflow of cost.
- Awareness about risks in upcoming projects or in the present project.
- Achievement of goals as a result of quality software.
- Satisfied customer and will be open new ways to expand your business.
Disadvantages of Risk Management in Software Project Management
- Risk management includes difficult measures and calculations to identify, plan and execution for reduction of risk.
- Risk Management is so complex so it is difficult to understand there must be required some extra knowledge to understand.
- Maybe the cost will little increase because of the training of employees to understand the complex structure of risk management.