Determining and Selecting the Optimal Sets of Risk Treatments under Project Constraints

Risk management practices exist to help planning risk responses and identifying risk treatments, but projects usually consist of constraints and lack of resources to implement all the treatments in reality. This paper defines some common criteria to select risk treatments with due consideration of the project constraints, such as budget, resources and schedule, and uses an example to illustrate how to obtain an optimal set of risk treatments so that the treatment effect can be maximized and the overall project risk is minimized under the given constraints.