Question

What is the difference between a source or cause of a risk event and a risk event itself?

Answer 1

The differences between risk event and source of risk event are as follows. Risk is an uncertain event or condition if it occurs has a positive or negative effect on project objectives. But risk source or cause of risk event is the activities or situations that lead to that uncertain event. The impact can be measured from the risk event while the controls to manage risk are developed based on the risk sources. The risk event can be either business risk like profit and loss or other insurable risk like personal injuries, while risk sources can be factors like quality, cost, resource, schedule and scope that affect the project outcome.