SOFTWARE RISK MANAGEMENT

Potential or Suffering from a harm or loss is known as Risk.Risk are voluntary and involuntary. Voluntary risks are those that we knowingly decide to undertake and involountry risks are those which are caused by nature’s action such as lightening , fire and these risks happen to us without our prior consent.Here my main focus is on software risks.Main causes of sotware risks are personal shortfalls , continuing stream of requirement changes , straining computer science capabilities and developing wrong user interface.In daily life software risks effect on medical care and dilevery , power generation , airport traffic management system , ATM’s and Emergency services. Risk Management is a process for assessment the influence of risk. It is an approach for system managers to measure the system’s assets and vulnerabilities, evaluating the risk and observing security.In the case of software, we consider risk management both during the design phase and use phase.For risk management we have to do following:
Mitigate the highest order risks by appling techniques and strategies.
Resolve Higest order risks by implementing the strategies.

During the design process , change level of risks and monitoring the effectiveness of strategies.
Four main steps in risk management are assessment , planning , implementation and monitoring. Assesment consist of variety of techniques including questions and answers , identifying software’s security problems , qualitative assessment and calcutlation.
The simple equation for calculating risk is:

Risks = Assests x Threats x Vulnerabilites

Planning involves outlining the policies. Implementation involves how we act on strategies.Implementation must be good. Monitoring is an important factor is risk management process as it is ongoing process . Monitoring helps us to determine the necessary changes and new application software to the sytem.