Abstract:

The article deals with the incorporation of risk management into project management in all life cycles of the project. The role of risk management is a very important part of the project regardless of its size or scope, and therefore the risk management should be included in the project throughout its life cycles. The introduction gives an overview of the existing knowledge and case studies of risk management in project management. Further on, the authors describe the project cycles including the activities they are comprised of. The activities and cycles are followed by those relating to the risk management in the individual life cycles. Risk management is connected with the selection of an appropriate management method and strategy, which are different in each life cycle of the project. For some of the methods the authors specify their time and cost effectiveness as it also is a vital aspect for the implementation of the project, thus having great importance for the manager should he/she decide among various methods. The outcome is a mapping of activities that needs to be done for successful project management in all its cycles taking into account all the risks affecting it. The benefit of the article lies in the fact that it provides a complete overview of methods in all the life cycles, including their financial and time or personal requirements, which can be used by the project manager to select the optimum risk management method or strategy during project implementation, irrespective of its size or scope.