Managing Risk : Methods for Software Systems Development

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ISBN: 9780201255928 | 0201255928
Cover: Hardcover
Copyright: 2/5/1998

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Risk is inherent in the development of any large software system. Specific risks arise, for example, when the product is complex, testing is not feasible, requirements change, or new cost/schedule constraints are imposed. Many project managers choose to ignore these risks, or only address problems if and when they occur. A more pragmatic approach, currently being embraced by leading software development companies, is to address potential problems before they occur. Managing Risk familiarizes project managers with the methodologies necessary to prepare for potential risks and, therefore, steer clear of resource-draining traps and pitfalls. Elaine Hall, a prominent consultant within the risk community, now shares with you detailed information on how to use formal, quantitative risk-management techniques and processes to combat and reduce risks in a software development project.

FOREWORD: RUNNING TOWARD RISK

xiii

(2)

PREFACE

(6)

ABOUT THE AUTHOR

xxi

PART I RISK MANAGEMENT DISCOVERY

(66)

Chapter 1 SOFTWARE RISK MANAGEMENT

(26)

1.1 Foundations

(8)

1.2 Risk in the Large

(5)

1.3 Risk in the Small

(5)

1.4 Consequences of Knowledge

(1)

1.5 Consequences of Ignorance

(1)

1.6 Summary

(1)

1.7 Questions for Discussion

(1)

1.8 References

(4)

Chapter 2 P(2)I(2) SUCCESS FORMULA

(22)

2.1 Major Factors in Risk Management Capability

(2)

2.2 People: The Human Element

(7)

2.3 Process: The Steps to Manage Risk

(3)

2.4 Infrastructure: The Organizational Foundation

(3)

2.5 Implementation: The Project Execution

(2)

2.6 Summary

(1)

2.7 Questions for Discussion

(1)

2.8 References

(2)

Chapter 3 RISK MANAGEMENT MAP

(16)

3.1 The Road to Risk Management Capability

(1)

3.2 Risk Management Map Directions

(3)

3.3 Journey from Problem to Opportunity

(4)

3.4 Journey from Novice to Expert

(1)

3.5 Summary

(2)

3.6 Questions for Discussion

(1)

3.7 References

(2)

PART II RISK MANAGEMENT PROCESS

(82)

Chapter 4 IDENTIFY RISK

(18)

4.1 Define the Risk Identification Process

(5)

4.2 Develop Risk Checklists

(3)

4.3 Define the Risk Assessment Method

(4)

4.4 Develop the Risk Management Form

(1)

4.5 Establish the Risk Database Schema

(2)

4.6 Summary

(1)

4.7 Questions for Discussion

(1)

4.8 References

(2)

Chapter 5 ANALYZE RISK

(20)

5.1 Define the Risk Analysis Process

(5)

5.2 Define Risk Analysis Techniques

(7)

5.3 Define Risk Evaluation Criteria

100

(2)

5.4 Establish the Risk Prioritization Scheme

102

(1)

5.5 Summary

102

(1)

5.6 Questions for Discussion

103

(1)

5.7 References

104

(3)

Chapter 6 PLAN RISK

107

(14)

6.1 Define the Risk Planning Process

108

(4)

6.2 Define Risk Resolution Strategies

112

(3)

6.3 Define Selection Criteria

115

(1)

6.4 Develop the Risk Action Plan Template

116

(1)

6.5 Summary

117

(1)

6.6 Questions for Discussion

118

(1)

6.7 References

119

(2)

Chapter 7 TRACK RISK

121

(14)

7.1 Define the Risk Tracking Process

122

(3)

7.2 Define Risk Tracking Techniques

125

(4)

7.3 Define Risk Measures and Metrics

129

(1)

7.4 Define Triggering Devices

130

(1)

7.5 Summary

131

(1)

7.6 Questions for Discussion

132

(1)

7.7 References

133

(2)

Chapter 8 RESOLVE RISK

135

(14)

8.1 Define the Risk Resolution Process

136

(5)

8.2 Define Risk Resolution Techniques

141

(2)

8.3 Define Risk Management Return on Investment

143

(1)

8.4 Develop a Corrective Action Procedure

144

(1)

8.5 Summary

145

(1)

8.6 Questions for Discussion

146

(1)

8.7 References

146

(3)

PART III RISK MANAGEMENT INFRASTRUCTURE

149

(60)

Chapter 9 DEVELOP THE POLICY

151

(14)

9.1 Obtain Commitment

152

(1)

9.2 Allocate Resources

153

(2)

9.3 Survey Existing Practice

155

(3)

9.4 Define Draft Policy

158

(1)

9.5 Review Draft Policy

159

(1)

9.6 Document Policy

160

(1)

9.7 Approve Policy

161

(1)

9.8 Communicate Policy

161

(1)

9.9 Summary

161

(1)

9.10 Questions for Discussion

162

(1)

9.11 References

163

(2)

Chapter 10 DEFINE STANDARD PROCESS

165

(18)

10.1 Establish an Action Team

166

(5)

10.2 Develop the Draft Standard Process

171

(6)

10.3 Review the Draft Standard Process

177

(1)

10.4 Document the Standard Process

178

(1)

10.5 Approve the Standard Process

179

(1)

10.6 Distribute the Standard Process

179

(1)

10.7 Summary

180

(1)

10.8 Questions for Discussion

181

(1)

10.9 References

181

(2)

Chapter 11 TRAIN RISK TECHNOLOGY

183

(10)

11.1 Prepare for Training

184

(1)

11.2 Develop Training Material

184

(3)

11.3 Apply Training Metrics

187

(1)

11.4 Deliver Training

188

(1)

11.5 Obtain Training Feedback

189

(1)

11.6 Summary

190

(1)

11.7 Questions for Discussion

191

(1)

11.8 References

191

(2)

Chapter 12 VERIFY COMPLIANCE

193

(8)

12.1 Review the Risk Management Plan

194

(1)

12.2 Audit Agents and Artifacts

195

(2)

12.3 Generate an Audit Report

197

(1)

12.4 Track Action Items

198

(1)

12.5 Summary

199

(1)

12.6 Questions for Discussion

199

(1)

12.7 References

200

(1)

Chapter 13 IMPROVE PRACTICE

201

(8)

13.1 Develop an Appraisal Method

202

(2)

13.2 Assess Risk Practices

204

(1)

13.3 Develop an Improvement Plan

205

(1)

13.4 Implement the Improvement Plan

206

(1)

13.5 Summary

207

(1)

13.6 Questions for Discussion

207

(1)

13.7 References

208

(1)

PART IV RISK MANAGEMENT IMPLEMENTATION

209

(60)

Chapter 14 ESTABLISH THE INITIATIVE

211

(10)

14.1 Review Risk Management Requirements

212

(2)

14.2 Plan Risk Management Activities

214

(1)

14.3 Budget Risk Management Activities

215

(1)

14.4 Schedule Risk Management Activities

215

(2)

14.5 Staff Risk Management Activities

217

(1)

14.6 Coordinate Risk Management Training

217

(1)

14.7 Summary

218

(1)

14.8 Questions for Discussion

218

(1)

14.9 References

219

(2)

Chapter 15 DEVELOP THE PLAN

221

(10)

15.1 Outline the Risk Management Plan

222

(1)

15.2 Define Risk Management Goals

222

(1)

15.3 Define the Risk Management Strategy

223

(3)

15.4 Define the Risk Management Process

226

(1)

15.5 Define Risk Management Verification

226

(1)

15.6 Define Risk Management Mechanisms

226

(2)

15.7 Summary

228

(1)

15.8 Questions for Discussion

228

(1)

15.9 References

229

(2)

Chapter 16 TAILOR THE STANDARD PROCESS

231

(8)

16.1 Review the Standard Process

232

(1)

16.2 Examine Tailoring Options

233

(1)

16.3 List Unique Project Factors

234

(1)

16.4 Recommend Process Changes

234

(1)

16.5 Document Standard Process Deviations

235

(1)

16.6 Summary

236

(1)

16.7 Questions for Discussion

237

(1)

16.8 References

237

(2)

Chapter 17 ASSESS RISK

239

(18)

17.1 Conduct a Risk Assessment

240

(3)

17.2 Develop a Candidate Risk List

243

(2)

17.3 Define Risk Attributes

245

(1)

17.4 Document Identified Risk

246

(1)

17.5 Communicate Identified Risk

247

(1)

17.6 Estimate and Evaluate Risk

247

(1)

17.7 Prioritize Risk

247

(6)

17.8 Summary

253

(2)

17.9 Questions for Discussion

255

(1)

17.10 References

255

(2)

Chapter 18 CONTROL RISK

257

(12)

18.1 Develop Risk Resolution Alternatives

258

(1)

18.2 Select the Risk Resolution Strategy

259

(1)

18.3 Develop the Risk Action Plan

260

(1)

18.4 Monitor Risk Status

261

(4)

18.5 Execute the Risk Action Plan

265

(1)

18.6 Take Corrective Action as Required

265

(1)

18.7 Summary

266

(1)

18.8 Questions for Discussion

267

(1)

18.9 References

267

(2)

PART V PEOPLE IN CRISIS AND CONTROL

269

(88)

Chapter 19 STAGE 1: PROBLEM

271

(18)

19.1 Problem Project Overview

272

(1)

19.2 The Process Improvement Initiative

272

(5)

19.3 Process Assessment

277

(4)

19.4 Process Assessment Results

281

(3)

19.5 Initiative Hindsight

284

(3)

19.6 Summary and Conclusions

287

(1)

19.7 Questions for Discussion

287

(1)

19.8 References

288

(1)

Chapter 20 STAGE 2: MITIGATION

289

(18)

20.1 Mitigation Project Overview

290

(1)

20.2 Risk Assessment Preparation

291

(2)

20.3 Risk Assessment Training

293

(1)

20.4 Project Risk Assessment

294

(5)

20.5 Project Risk Management

299

(2)

20.6 Project Risk Retrospective

301

(3)

20.7 Summary and Conclusions

304

(1)

20.8 Questions for Discussion

305

(1)

20.9 References

306

(1)

Chapter 21 STAGE 3: PREVENTION

307

(20)

21.1 Prevention Project Overview

308

(5)

21.2 Risk Assessment Results

313

(4)

21.3 Risk Manager

317

(4)

21.4 Risk Practice Survey

321

(2)

21.5 Risk Practice Observations

323

(1)

21.6 Summary and Conclusions

324

(1)

21.7 Questions for Discussion

325

(1)

21.8 References

325

(2)

Chapter 22 STAGE 4: ANTICIPATION

327

(16)

22.1 Anticipation Project Overview

328

(1)

22.2 Proactive Risk Management

328

(3)

22.3 Organization Measurement Practices

331

(1)

22.4 Risk Management Committee

332

(2)

22.5 Living Lifecycle Model

334

(6)

22.6 Summary and Conclusions

340

(1)

22.7 Questions for Discussion

341

(1)

22.8 References

342

(1)

Chapter 23 STAGE 5: OPPORTUNITY

343

(14)

23.1 Opportunity Project Overview

344

(2)

23.2 Fixed-Price Problems

346

(2)

23.3 Routine Risk Management

348

(2)

23.4 High-Performance Engineering

350

(2)

23.5 The Power Pyramid

352

(2)

23.6 Summary and Conclusions

354

(1)

23.7 Questions for Discussion

355

(1)

23.8 References

355

(2)

EPILOGUE

357

(2)

GLOSSARY

359

(10)

INDEX

369

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Managing Risk : Methods for Software Systems Development

Summary

Author Biography

Table of Contents

Supplemental Materials