types of risks 1.project risks –impact schedule and cost –includes budgetary, schedule,...
TRANSCRIPT
Types of Risks
1. Project risks– Impact schedule and cost– Includes budgetary, schedule, personnel,
resource, customer, requirement problems
2. Technical risks– Impact the quality, timelines, and cost– Implementation may become difficult or
impossible– Includes design, implementation, interface,
verification and maintenance problems– Arise due to leading edge technology
Recap
Software Engineering II
Lecture 19
Fakhar Lodhi
Types of Risks
3. Business risks– Marketability– Alignment with the overall business
strategy– How to sell– Budget or personnel commitments
Risk Identification
• Identify known and predictable risks• Generic risks and product specific risks
• Generic risks – threats to every project• Product specific risks – what special
characteristics of this project may threaten your project plan?
• Risk item checklist
Risk Item Checklist
• Product size• Business impact• Customer characteristics• Process definition• Development environment• Technology to be built• Staff size and experience
• Questions relevant to each of the topics can be answered for each software project
Assessing Overall Project Risks
• Have top software and customer managers formally committed to support the project?
• Are end-users committed to the project and the system/product to be built?
• Are requirements fully understood?• Have customers been involved fully in
requirement definition?• Do end-users have realistic expectations?
Assessing Overall Project Risks
• Does the software team have right mix of skills?
• Are project requirements stable?• Does the project team have experience with
the technology to be implemented?• Is the number of people on the project team
adequate to do the job?
Risk components and drivers
1. Performance risks– Degree of uncertainty that the product will
meet its requirements and be fit for its intended use
2. Cost risks– The degree of uncertainty that the project
budget will be maintained3. Support risks
– Resultant software will be easy to correct, enhance, and adapt
Risk components and drivers
4. Schedule risks– Product schedule will be maintained
• Four impact categories1. Negligible 2. Marginal 3. Critical4. Catastrophic
Performance Support Cost Schedule
Catastrophic Failure to meet the requirements will result in mission failure
Results in increased cost and schedule delays. Expected value in excess of $500K
Significant degradation
Non-responsive or unsupportable
Budget overrun likely
Unachievable
Critical Would degrade performance to a point where mission success is questionable
Results in operational delays and or increased cost with expected value of $100K-$500K
Some reduction in technical performance
Minor delays Possible overrun
Possible slippage
Marginal Result in degradation of secondary mission
Expected value <$100K
Small reduction
Responsive Sufficient financial resources
Realistic
Negligible Inconvenience Minor
No reduction Supportable Budget under run possible
Achievable
Row 1–Consequences of errors Row 2–Failure to achieve desired outcome
Risk ProjectionConcerned with risk estimation
– Attempts to rate risks in two ways• Likelihood and consequences
– Four risk projection activities• Establish a scale that reflects the
perceived likelihood of risk• Delineate the consequences• Estimate impact• Note the overall accuracy of risk projection
Risk Category Probability
Impact RMMM
Size estimate may be significantly lowLarger number of users than plannedLess reuse than plannedEnd-users resist systemDelivery deadline will be tightenedFunding will be lostCustomer will change requirementsTechnology will not meet expectationsLack of training on toolsStaff inexperiencedStaff turnover will be high
PSPSPSBUBUCUPSTE
DESTST
60%30%70%40%50%40%80%30%
80%30%60%
23232121
322
1: Catastrophic 2: Critical 3: Marginal 4: Negligible
Risk mitigation, monitoring, and management plan