What is risk projection?

Risk projection, also called risk estimation, attempts to rate each risk in two ways-the likelihood or probability that the risk is real and the consequences of the problems associated with the risk, should it occur. The project planner, along with other managers and technical staff, performs four risk projection activities:

(1) Establish a scale that reflects the perceived likelihood of a risk,

(2) Delineate the consequences of the risk,

(3) Estimate the impact of the risk on the project and the product, and

(4) Note the overall accuracy of the risk projection so that there will be no misunderstandings