Business

Simple Risk Register Templates (Excel, Word)

A useful risk register template is a document for project management and risk management. Most managers use this tool for checking the potential risks of their project. However, this is such a tool you need to know its use. Further, how you can save your next project from spoil.

Risk Register Templates:

The risk register document is very important in project management and risk management. Similarly, you can track the risk and record it in the register. There are different risk register documents available free from the internet. You can use it as per the nature of your project. These templates will work as an efficient tool for risk management.

What is a Risk Register?

A project risk register is a tool that most managers use to check the potential impact on their project. Risk management is an important component of project management. Through this, you trace the potential problem and setbacks of your project. The risk register is also famous for the name of the risk log and is an essential part of the risk management process.

What is the purpose of Risk Register?

The purpose of risk records in project management is to identify, log and track potential project risks. Further, a risk in project management is an unexpected thing that will give a positive or negative effect on your project. The project teams assess some risk factor and record in the risk register. Their target is to keep the project safe from unexpected risk factors and to complete the project within the budget and schedule.

Why do you need a Risk Record?

When the project becomes larger, longer and more complex it is difficult to handle and finish on time. In such a situation you need a risk register. If the risks don’t track time and are not reviewed regularly it will become the reason for missing things and the project will delay. Some risks are small and don’t look like a potential hazard, but they impact your project badly if they are not traced timely. Examples of project risks are following:

  1. If the materials are stolen and this is a data/security risk.
  2. Legally changes in the project(Legal Risk)
  3. Natural hazards like fire, storm and flooding.
  4. Disturbance of Supply chain.

Risk management is that you identify potential problems and handle them at your earliest. It authorises you that you track risks over time to see if and how they are changing. For Instance, if the risk identifies earlier and you don’t give attention to that. It becomes a problem later and mostly it is the reason for project delaying and the hindrance in the progress of the work. If you take action early you can handle your risks promptly you can continue your project without any delay.

Who is the Creator of the Project Risk Log?

If you are awarded a big project and it is critical and complex. It is the responsibility of the project manager to hire a risk manager. The risk manager must track all the potential hazards and keep a record in the risk register. However, the normal practice is that the project manager is responsible for creating the risk register.

This does not mean that only the risk manager and project head is responsible for potential hazards. Similarly, the whole team is responsible for tracking and assessing any risk on the project and provide information to management timely. For Instance, the client or sponsor may aware of potential hazards on the project but no one from the team knew about it.

What to Include In Risk Register?

A risk register which is a table of potential risk. You need to track all potential risks and keep vital information about them. The standard columns which include are:

  • Identification number (to identify each risk)
  • Name or a brief description of the risk
  • Risk categories (whether internal or external, material-related or labour-related.)
  • Probability (the ratio of risk occurrence)
  • Impact (How it will impact the project progress)
  • Rating (what is the rating of risk in your listing)
  • Approach (monitor the risk, try to mitigate the risk and avoid it)
  • The person for supervision and modifying the risk comments

Creation of Risk Register

To create a better risk register you need to build a table with the columns and start settling it with project risks. You can see in detail the columns and how to fill them.

Risk Categories:

The actual purpose of making risk categories is to categorize your project risk, monitor them and check which needs to resolve earlier. Further, you will see the impact on the project and customize your business and the project you are currently working on. You can choose columns for separate categories. For Instance, you want to identify what sprint is impacted and another for identifying the development and testing work.

What is Probability and Its Impact:

There are two ways which use to assess the risks. One is qualitative risk and the second is a quantitative risk. The qualitative risk is to generally see the impact and scale on a 3-5 point scale such as very high, high, medium, low and very low.

Quantitative risk in which you give a numeric value. However, just saying there is a “high” impact, you need to provide quantifiable terms such as a three to four-week delay in the schedule and a 5% cost increase.

Rating:

In qualitative risk assessment, you need to multiply impact with the typical rating. For Instance, the probability is 4 and the impact is 3 then your rating will be 12(4×3). This is a simple way to prioritize and sort risks quickly.

Qualitative risk analysis is not simple to calculate. It is difficult to compare a two-week delay in schedule with a 40% chance of a 10 % increase in the cost. To make this work, you need to rate the schedule and budget then you can compare them easily. For Instance, if there is a 5-week delay in the schedule and a 10% increase in the budget cost, you will rank it as a high impact and rate them as 5.

However, you choose to track and assess your project risks, make sure it’s standard across your project. Further, if your team members assess differently and track the risk inconsistently, it will be difficult to view, prioritize your project risks.

Make effective use of Wrike to manage your project risks

You know that you can build, update, maintain and share your risk register with the project management software. It’s Wrike Customer’s effort to create and modify the registry to reflect exactly what column and categories you need to track. Further, you can share with your team and stakeholders to get their input. Moreover, you can incorporate it into your reports and dashboards, so you will consider risk on top and nothing important gets overlooked.

Conclusion:

A creative risk register is useful in risk management and project management. However, this is the best tool for project managers to see the potential risks and their impact on the project. Further, the purpose is to identify, log and track the project risks and their hazards. Risk register templates can be download free from the internet and use as per the requirement of the project.

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