Risk Management Strategy
Every project should prepare a Risk Management Strategy, in line with corporate or programme practices. In this document the project outlines it's approach to the management of risk. The Risk Management Strategy becomes a part of the Project Initiation Document (PID).
Also the attitude of the organisation to risk taking (risk appetite) should be documented in the Risk Management Strategy. For the Project Board it is important to have a threshold for the escalation of risks. This Risk Tolerance is the aggregate level of risk that will trigger an exception when threatened to be exceeded.
Risk Register
To have one single repository for all risk related information PRINCE2 advises to use a Risk Register, where all information on the various project risks is collated. The Project Manager is responsible for maintaining the Risk Register.
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