Practical No 11

 Practical 11 - Identify the risk involve in the project and prepare RMMM plan.

A risk management technique is usually seen in the software Project plan. This can be divided into Risk Mitigation, Monitoring, and Management Plan (RMMM). In this plan, all works are done as part of risk analysis. As part of the overall project plan project manager generally uses this RMMM plan. 

Risk :

Due to the large size of some banks, overexposure to risk can cause bank failure and impact millions of people. By understanding the risks posed to banks, we can set better regulations to encourage prudent management and decision-making.

The ability of a bank to manage risk also affects investors’ decisions. Even if a bank can generate large revenues, lack of risk management can lower profits due to losses on loans. Value investors are more likely to invest in a bank that is able to provide profits and is not at an excessive risk of losing money.

Risk Mitigation : 
It is an activity used to avoid problems (Risk Avoidance). 
Steps for mitigating the risks as follows. 

1. Finding out the risk. 
2. Removing causes that are the reason for risk creation. 
3. Controlling the corresponding documents from time to time. 
4. Conducting timely reviews to speed up the work.

Risk Monitoring :

It is an activity used for project tracking. 
It has the following primary objectives as follows. 
 

1. To check if predicted risks occur or not. 
2. To ensure proper application of risk aversion steps defined for risk. 
3. To collect data for future risk analysis. 
4. To allocate what problems are caused by which risks throughout the project.

Management : 

Risk management and contingency planning assumes that mitigation efforts have failed and that the risk has become a reality. Continuing the example, the project is well underway, and a number of people announce that they will be leaving.

Result: Hence we have identified the risk in bank management system and prepared RMMM.