\section{Purpose and Objectives}

The purpose of project risk management is to anticipate and manage any unexpected events in the course of the project.


\subsection{Risk Identification}

At project inception and throughout the term of the project, the project manager and project team will actively try to identify 
and document any risks affecting the project.  When a risk is identified, the risk will be added to the project risk document
with two risk classifications, the likelihood that the risk materializes 

\begin{itemize}
    \item Improbable
    \item Possible
    \item Probable
\end{itemize}

as well as the size of of the impact

\begin{itemize}
    \item Immaterial
    \item Moderate
    \item Severe
\end{itemize}

\subsection{Risk Action Plan}

All identified risks must be assigned a risk response from among the following:

\begin{itemize}
    \item Avoid - actions will be taken to reduce the probability of the risk materializing
    \item Transfer - actions will be taken to transfer the risks to a third party
    \item Mitigate - actions will be taken to reduce the impact of the risk if it occurs
	\item Accept - no action is taken, the risk is accepted
\end{itemize}

Risks that are Improbable with Moderate or Immaterial impacts are assigned a risk response of Accept by default.  When the risk action plan
is listed as avoid, transfer or mitigate, the specific actions taken shall be listed in the project risk plan document.


\subsection{Risk Monitoring and Reporting}

When a project has risks that are not improbable, or if improbable has severe impacts, the project manager shall include in the project risk
documents a plan for monitoring and reporting the risks as the project progresses.