Risk Analysis

Risk analysis forms the basis of the risk management process. A risk analysis will always be in one of the following statuses; Preliminary, Waiting Analysis (system set), Analysis in Progress, Analyzed, Approval in Progress, Approved, Closed.

Status levels are mainly informational to support the tracking and regular review required for active risk management. They are not designed to lock out records.

Risk Analysis Statuses

Preliminary

When a new risk analysis is created and saved, its status is automatically set to Preliminary. It is typically at this stage that the header information is entered and the initial identification of potential problems is carried out.

Analysis in Progress

An analysis should be manually set to the state Analysis in Progress when the problem, consequence, response and action records defined on the risk analysis are being assessed. This is done by selecting Start Analysis. Once the analysis has been completed and updated then it can be promoted to status Analyzed by selecting Confirm Analysis. It is possible to demote to this state from the statuses Analyzed, Approved or Closed if the need arises.

Waiting Analysis

This status is automatically triggered by the system if the next assessment date defined on the risk analysis has been reached but the risk analysis does not have the Analysis in Progress status.  This means it is effectively overdue and the risk owner should start the review and set the status to Analysis in Progress.

Analyzed

When the analysis on a risk is complete, it is confirmed by selecting Confirm Analysis and it then inherits the status Analyzed. This is usually done when the problem, consequence, response and action records defined on the risk analysis have been assessed. On setting the status of the risk analysis to Analyzed:

• The Revision number is incremented by one.
• Risk Cost Exposure (header record) is inserted into the Cost Exposure History Table to track the total risk exposure which should decrease as the project decreases.

From this point onward the risk analysis can proceed on to one of the following states/statuses:

• Analysis in Progress if you want to review an analysis. 
• Approval in Progress if approval steps have been defined on it
• Approved if no approval steps have been defined on it.
• Closed if you wish to close the particular risk analysis.

Approval in Progress

When a risk analysis has been analyzed, it may require approval by others. If approval steps have been defined on the risk analysis, you can initiate the approval process which will result in the Approval in Progress status. From this point onward, the risk analysis can either be approved if all the steps in the approval process have been approved or the approval risk analysis can be cancelled on the whole.

Approved

The approved status shows that the risk analysis revision has been approved usually by others not directly involved with the analysis. It is not mandatory to move to the Approved status and there is no system effect from doing so.

Closed

When a risk analysis is thought to no longer pose any threat or if the time period for this potential threat expires, then the risk analysis should be closed. This can be done from the statuses:

• Analyzed.
• Approved if the approval on the risk analysis has been completed.

From this point it is only possible to select start analysis and return to the Analysis in Progress status if further changes are to be made.