Risk management is the recognition, analysis, and prioritization/arrangement of risks (defined in ISO 31000 as the effect of uncertainty on objectives) . It is trailed by coordinated/synchronize and low-budget application of resources to reduce, observing, and control the probability and/or effect of unlucky events or to maximize the understanding of opportunities.
One of these activities of application development is risk management. Risk management may be done in different levels in the company.Risks often exist at project level, especially in software testing.
Risks are problems that may or may not occur. They have a certain probability of occurrence, Risks are not exactly problems.
Project may be subjected to different kinds of risks such as:
- Non-compliance with basic regulation, and
- Project failure.
Risk management is an important activity . It gives better understanding to all project stakeholders. Risk assessment document should be constantly studied and traced throughout the project and Test plans should be synchronized with the updated risk assessment document.