A Risk Management Process is a method by which risks to the project are formally identified, quantified and managed during the execution of the project. The process entails completing a number of Project Management Templates actions to reduce the likelihood of occurrence and the severity of impact of each risk. A risk process is used to ensure that every risk is formally identified, quantified, monitored, avoided, transferred and / or mitigated.

Although a risk process is undertaken during the ‘Execution’ phase of the project, risks may be identified at any stage of the project Lifecycle. In theory, any risk identified during the life of the project will need to be formally managed as part of the Risk Management Process. Without a risk process in place, unforeseen risks may impact the ability of the project to meet its objectives. The risk process is terminated only when the Project Execution phase of the project is completed.