Risk Classification

The key purpose of classifying risk is to get a collective viewpoint on a group of factors. These are the types of factors which will help project managers to identify the group that contributes the maximum risk.
A best and most scientific way of approaching risks is to classify them based on risk attributes. Risk classification is considered as an economical way of analyzing risks and their causes by grouping similar risks together into classes .

Software risks could be classified as internal or external. Those risks that come from risk factors within the organization are called internal risks whereas the external risks come from out of the organization and are difficult to control. Internal risks are project risks, process risks, and product risks. External risks are generally business with the vendor, technical risks, customers ,satisfaction, political stability and so on.

Some of most important risks in software engineering project are categorized as,

•  Software requirement risks
• Software cost risks
• Software scheduling risk
• Software quality risks

SOFTWARE REQUIREMENT RISKS

1. Lack of analysis for change of requirements.
2. Change extension of requirements
3. Lack of report for requirements
4. Poor definition of requirements

5. Ambiguity of requirements
7. Change of requirements
8. Inadequate of requirements
9. Impossible requirements
10. Invalid requirements

SOFTWARE COST RISKS

1. Lack of good estimation in projects
2. Unrealistic schedule
3. The hardware does not work well

4. Human errors
5. Lack of testing
6. Lack of monitoring
7. Complexity of architecture
8. Large size of architecture
9. Extension of requirements change
10. The tools does not work well
11. Personnel change, Management change, technology change, and environment change
12. Lack of reassessment of management cycle

SOFTWARE SCHEDULING RISKS

1. Inadequate budget
2 . Change of requirements and extension of requirements

3. Human errors
4. Inadequate knowledge about tools and techniques
5. Long-term training for personnel
6 .Lack of employment of manager experience
7. Lack of enough skill
8. Lack of good estimation in projects

SOFTWARE QUALITY RISKS

1. Inadequate documentation
2. Lack of project standard
3. Lack of design documentation
4. Inadequate budget
5. Human errors
6. Unrealistic schedule

7. Extension of requirements change
8. Poor definition of requirements
9. Lack of enough skill
10. Lack of testing and good estimation in projects
11. In adequate knowledge about techniques, programming language, tools, and so on.