As mentioned in the
Introduction, this is the step-by-step process that can help you asses program
status. When you fold out this page, you will find a graphical representation
of a disciplined, proven approach for managing technical risk. As you
familiarize yourself with the metrics, information, guidance, and suggestions
contained in this book, this big picture should help you keep a
simultaneous focus on, well..., "the big picture!"
Managing technical risk
generally involves the steps shown above and discussed in more detail on the
Use the Template
Chart, Combined Government/Industry Acquisition Flowchart, and Program
Manager;s WorkStation (PMWS) to identify the critical technical processes
appropriate to the phase of your program during which a technical risk
assessment is being performed.
(A) Use known best practices
to determine the technical baseline for those critical processes. (B) Examine
your program's technical requirements and policies to determine program
3. Risk Assessment
Intitally, determine for each
critical process identified whether or not (and if so, to what extent) your
program baseline varies from the known best practices baseline. In later
milestone assessments you will assess the actual implementation of your
processes and the quality of your product to determine if the "best practice"
plan is being followed. Classify the technical risk associated with each
critical process as high, moderate, or low, based on
the amount of variation from the technical baseline.
4. Risk Mitigation
Determine corrective actions
to reduce risk for each critical process classified as high risk.
Moderate risk processes will require monitoring and perhaps corrective
actions, according to management judgement. Recommmended actions may be
technical (e.g., design or manufacturing change), managerial (e.g., cost
and/or schedule change), or both.
5. Risk Report
Prepare technical risk
assessment report. List each technical process area assessed, the
determined level of risk for each process area, all associated observations
which led to the risk level classification, and specific corrective actions to
reduce or manage the identified risk. This will constitute the technical
risk assessment report detail. Then complete a one-page summary
chart, coded by pattern -- and ideally by color as well, to give management a
method for "assessment at a glance." Present the summary chart before the