Managing Project Risks: Identify Risks Process
PMBOK v8 Definition
Identify Risks is the process of recognizing both negative and positive risks, focusing on distinguishing genuine risks from nonrisks, such as concerns and issues. It is important to recognize that not all risks can be identified at the outset due to the inherent uncertainties and unknowns present at the beginning of a project. This process belongs to the Project Risk Management Knowledge Area within the Planning Process Group.
Why It Matters for the Exam
The Identify Risks process is frequently tested because it establishes the foundation for all subsequent risk management activities. Exam questions often test your ability to distinguish between risks and non-risks (concerns/issues), identify the correct inputs and outputs, and recognize that risk identification is an iterative process performed throughout the project.
Key Points to Remember (for the exam)
- Main Inputs: Agreements, Enterprise Environmental Factors, Organizational Process Assets, Resource Requirements, Stakeholder Register
- Main Outputs: Risk Register, Risk Report, Project Management Plan Updates
- Key Tools: Expert Judgment, Data Gathering (Interviews), Data Analysis (Stakeholder Analysis), Meetings
- Common Confusion: Confusing Identify Risks with Plan Risk Management, Plan Risk Management creates the risk management plan, while Identify Risks produces the risk register and risk report
- Critical Distinction: Risks ≠ Concerns ≠ Issues, only genuine uncertainties with potential impact are risks
- Iterative Nature: This process should be performed throughout the project, not only at the beginning
- Output Content: Risk report includes sources of overall project risk and summary information on identified individual project risks (number of threats/opportunities, distribution across categories, metrics and trends)
Typical PMI Exam Example
A project manager is leading a new software development project. During a team meeting, several team members raise concerns about potential technical challenges. The project manager needs to determine which items are genuine risks versus concerns or issues. Using expert judgment and data gathering techniques, the project manager facilitates interviews to identify and document actual risks in the risk register.
PMI Exam Traps
- Trap: Thinking all risks can be identified at project initiation → Reality: Not all risks can be identified at the outset due to inherent uncertainties and unknowns
- Trap: Confusing the risk register with the risk report → Reality: The risk register contains detailed individual risks; the risk report summarizes overall project risk and trends
- Trap: Treating concerns and issues as risks → Reality: Only genuine uncertainties with potential positive or negative impact qualify as risks
- Trap: Believing Identify Risks is a one-time activity → Reality: This process should be performed throughout the project lifecycle
Important PMI Connections
| Related Concept | Relationship Type | Exam Attention Point |
|---|---|---|
| Plan Risk Management | Predecessor | Provides the risk management plan that guides Identify Risks |
| Perform Risk Analysis | Successor | Uses risk register outputs from Identify Risks for probability/impact assessment |
| Risk Register | Output | Primary document updated through all subsequent risk processes |
| Stakeholder Register | Input | Stakeholder information helps identify risks from different perspectives |
Quick Review Questions
- What are the two main outputs of the Identify Risks process?
- Why can't all risks be identified at the beginning of a project?
- What is the difference between a risk, a concern, and an issue?
- How often should the Identify Risks process be performed?
- What information is included in the risk report after Identify Risks is completed?
PMBOK v8 Reference
Section 2.7.2.2, Identify Risks