In PRINCE2 7, effective risk management relies on clear role definitions to ensure every identified risk is managed proactively. The distinction between the Risk Owner and the Risk Action Owner is fundamental to this process, separating accountability from execution.
The Risk Owner is the individu…In PRINCE2 7, effective risk management relies on clear role definitions to ensure every identified risk is managed proactively. The distinction between the Risk Owner and the Risk Action Owner is fundamental to this process, separating accountability from execution.
The Risk Owner is the individual held accountable for the management, monitoring, and control of a specific risk. They must have the authority and capacity to manage the risk, often requiring the seniority to make decisions regarding the risk response (e.g., whether to treat, transfer, or tolerate). Their primary duties include approving risk response actions, monitoring the risk's status, and reporting to the Project Manager or Project Board. While they own the risk strategy, they do not necessarily perform the day-to-day mitigation work.
The Risk Action Owner, conversely, is the individual responsible for implementing the specific risk response actions. They are the 'doers' who carry out the plan defined by the Risk Owner. This person executes the work—such as performing a technical fix, purchasing insurance, or conducting specific tests. They are accountable to the Risk Owner for the completion of these tasks and must report on the progress and effectiveness of the actions. They also alert the Risk Owner if the action fails or if the risk characteristics change.
For example, regarding a risk of supplier insolvency, the Project Executive might be the Risk Owner (accountable for the financial impact), while the Procurement Manager is the Risk Action Owner (responsible for finding a backup supplier). This separation ensures that accountability is never diluted while practical mitigation steps are executed by the appropriate subject matter experts.
Risk Owner and Risk Action Owner: PRINCE2 Practitioner v7 Guide
Introduction In PRINCE2 v7, effective risk management relies heavily on clear roles and responsibilities. A common area of confusion—and a frequent topic in the Practitioner exam—is the distinction between the Risk Owner and the Risk Action Owner. To pass the exam, you must understand the difference between accountability for the risk and responsibility for the work.
What is it? Definitions PRINCE2 separates the management of a risk from the execution of the response:
1. Risk Owner The Risk Owner is a named individual who is accountable for the management, monitoring, and control of all aspects of a particular risk. They are responsible for ensuring the risk is tracked and that the chosen responses are effective.
2. Risk Action Owner The Risk Action Owner is an individual responsible for implementing the specific risk management actions (responses) assigned to them. They carry out the work defined by the Risk Owner.
Why is it important? Assigning these roles prevents the 'Bystander Effect' where risks are identified but ignored. • Accountability: The Risk Owner ensures the risk does not fall off the radar. • Action: The Risk Action Owner ensures that theoretical plans (e.g., 'we should update the firewall') become completed tasks.
How it works During the risk management procedure, specifically during assessment and planning: 1. A Risk Owner is appointed (often the person most impacted by the risk or best placed to manage it). 2. The Risk Owner plans a response (e.g., Reduce, Transfer, Avoid). 3. To execute the response, the Risk Owner assigns a Risk Action Owner. 4. The Risk Action Owner performs the task and reports progress to the Risk Owner. 5. The Risk Owner monitors the effectiveness of the action and reports status to the Project Manager.
Note: The Risk Owner and Risk Action Owner can be the same person, but the roles are logically distinct.
Exam Tips: Answering Questions on Risk Owner and Risk Action Owner In the Practitioner exam, questions often present a scenario and ask if a specific role allocation or action was appropriate.
1. 'Accountable' vs. 'Doing' Look for keywords in the scenario. If the person is monitoring, managing, or reporting status, they are acting as the Risk Owner. If the person is installing, writing, phoning, or buying, they are acting as the Risk Action Owner.
2. Check the Reporting Line A common trick question involves communication flow. The Risk Action Owner should report to the Risk Owner. If the scenario shows a team member bypassing the Risk Owner to change the risk strategy, this is usually a violation of the process.
3. Seniority Matters (Sometimes) For strategic or commercial risks, a Project Board member (e.g., the Senior User) might be the Risk Owner. However, the Risk Action Owner is usually a specialist who has the technical skills to perform the mitigation action. Ensure the person assigned the 'Action' role actually has the skills to do the work in the scenario.
4. Summary Checklist for Questions • Who cares? Risk Owner. • Who acts? Risk Action Owner. • Can they be the same person? Yes. • Can the Project Manager be a Risk Owner? Yes, for many project-level risks. • Can a Project Board member be a Risk Owner? Yes, for risks exceeding the PM's threshold or related to business justification.