Utilizing the Delphi technique , your team constructed the following risks register the VoIP project containing the risk , the likelihood of its occurrence on a scale of 1 ( least likely ) to 5 ( most likely ), and the potential negative impact on the project on the same scale . In addition , they recommended the appropriate response and identified its type for one of the risks identified .
Write a three to five ( 3-5 ) page paper in which you :
1 . Explain risk management and its associated activities and defend the need for a risk management plan .
2 . Describe the Delphi technique used to identify risks and infer on types of projects where this technique is most accurate .
3 . Examine the four ( 4 ) types of risk response ( i . e ., avoidance , acceptance , transference , and mitigation ) and determine the appropriate situation where each should be used .
4 . Complete the table with the risk response type ( i . e ., avoidance , acceptance , transference , and mitigation ) and a description of the response .
5 . Create a decision tree with the software of your choice to address risk number 6 . Assume that when you check the schedule on day 60 of the project , it becomes evident that two ( 2 ) additional engineers are needed to ensure on-time completion of the project . The engineers cost $ 25,000 each and a fee of $ 120,000 is issued by the legacy provider . The probability of completing the project on time is as follows : With the current personnel – 60 %; With one ( 1 ) engineer – 80 %; With both engineers – 98 %.