A risk manager for a hospital extension project is leading a project team in developing a risk management plan. One team member is responsible for conducting risk identification. The team member just joined the team and is struggling to ensure the coverage of all risks that might arise in this complex project. How should the risk manager address this concern?

The most effective way to address the team member's concern about comprehensive risk coverage is to introduce a structured identification technique. A Risk Breakdown Structure (RBS) is a hierarchical decomposition of potential sources of risk. It provides a systematic framework, organizing risks into categories and subcategories (e.g., Technical, External, Organizational, Project Management). This structured approach acts as a prompt list, guiding the team member to consider all potential areas of the project, thereby ensuring a more thorough and comprehensive risk identification process, which is crucial for a complex project.

B. Develop a risk impact analysis to assess the consequences of possible risks: This is a step in risk analysis, which occurs after risks have been identified. It evaluates the potential effect of a risk, but does not help in discovering them.
C. Develop a probability and impact matrix to analyze possible risks: This tool is used for qualitative risk analysis to prioritize identified risks based on their likelihood and consequence. It is not a risk identification technique.
D. Create a risk register to capture and track possible risks: The risk register is the output document where identified risks are logged. While essential for documentation, creating the register itself does not provide the method to ensure comprehensive identification.

1. Project Management Institute. (2019). The Standard for Risk Management in Portfolios, Programs, and Projects. Newtown Square, PA: Project Management Institute.

Section 4.3.2.2, Tools and Techniques, Risk Breakdown Structure (RBS): "The RBS is a hierarchical representation of potential sources of risk... The RBS can be used as a prompt list to facilitate a comprehensive and systematic process of risk identification." (p. 49)

2. Project Management Institute. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – Sixth Edition. Newtown Square, PA: Project Management Institute.

Section 11.2.2.3, Data Analysis, Prompt Lists: "Prompt lists are predetermined lists of risk categories that might give rise to individual project risks and that could also act as sources of overall project risk. The prompt list can be used as a framework to aid the project team in idea generation... The lowest level of the RBS can be used as a prompt list for individual risks." (p. 416)

3. Hillson, D. (2003). Using a risk breakdown structure in project management. Journal of Facilities Management, 2(1), 85-97.

Abstract & Section "The Risk Breakdown Structure": The paper describes the RBS as a tool to "help understand and manage project risk in a structured way" and emphasizes its role in ensuring that "all potential sources of risk to the project have been considered" during the identification phase. (DOI: https://doi.org/10.1108/14725960310807979)