Risk Leveling in Program Environments—A Structured Approach for Program Risk Management

Programs are demarcated as administrative structures established to realize planned organizational strategies through multi-project activities. Programs occupy a distinct locus in organizational hierarchy, so therefore necessitate specialized management approaches. Risks in programs tend to widen the gap between the organizational plans and the actual program realizations. However, effective risk management can minimize these gaps. This research frames a structured approach for program risk management, called Risk Leveling in Program Environments (RLPE), which suggests (a) a deliberate shift of risks to the right organizational level where they can be addressed most effectively; and (b) a unique procedure for risk management, which attempts to stabilize the risky contexts in programs. RLPE tracks the standard risk management process, preserves distinct program locus, and employs certain qualitative and quantitative measures to achieve risk leveled environments for program success. It has been demonstrated how certain tools and concepts, such as Analytical Hierarchy Process (AHP), As Low As Reasonably Practicable (ALARP), standard deviation, etc. can be employed for risk oriented decision making in programs. RLPE is an instrumental approach, which can help the policy makers in controlling the risky contexts thereby providing sustainable growth for development programs. The offered approach can be particularly advantageous for risk management in large-scale (development) programs. OPEN ACCESS Sustainability 2015, 7 5897