Agile Risk Management

Understanding Risk in Agile Projects

• Risk management is essential throughout the project lifecycle.
• Risk is considered "anti-value" as it threatens project success.
• Example: A snowstorm or pandemic could delay the project.

Risk Management Processes (PMBOK Version 6)

1. Plan Risk Management: Create a plan to identify and assess risks.
2. Identify Risks: Recognize risks such as feature failures or team absences.
3. Perform Qualitative and Quantitative Risk Analysis:
   • Qualitative: Ranking risks as high, medium, or low.
   • Quantitative: Assigning numerical values (e.g., cost impact, delay in days).
4. Plan Risk Responses: Develop strategies to mitigate, accept, or transfer risks.
5. Implement Risk Responses: Execute risk mitigation plans when risks occur.
6. Monitor and Control Risks: Continuously assess risks and effectiveness of responses.

Example: If a snowstorm occurs, the team may shift to remote work using Zoom or Webex.

Agile-Specific Risk Management Tools

• Risk-Adjusted Backlog: Adjusting the product backlog by removing or reprioritizing risky features.
• Risk Burndown Charts: Tracking how risks evolve over time, reducing or increasing.

Key Takeaways

• Risk management is continuous in Agile projects.
• Identifying, assessing, and responding to risks early is crucial.
• Risk should be minimized to prevent value loss in the project.