Development of a Generic Risk Matrix to Manage Project Risks

Abstract

A generic risk matrix is presented for use identifying and assessing project risks quickly and cost effectively. It assists project managers with few resources to perform project risk analysis. The generic risk matrix (GRM) contains a broad set of risks that are categorized and ranked according to their potential impact and probability of occurrence. The matrix assists PMs in quickly identifying risks and can serve as a basis for contingency planning to minimize cost and schedule overruns. It is suitable for a wide variety of projects and can be modified for specific types of projects using historical data or expert opinion. An R&D project case study is included to demonstrate how the GRM is applied for a specific project.