How does the KanBo Value-Risk Matrix Template work?
The KanBo Value-Risk Matrix Template includes a few layers of risk and value. It is a powerful decision-making framework that allows for efficient risk management and high-level prioritization.
As an example, it will help you to identify the value and risks associated with the following questions:
- How important is each project or initiative?
- What can go wrong?
- How do the risks change with the current state of the project/initiative?
- How did you arrive at your answer?
- How did you compare risks between projects or initiatives?
- How do you compare risks and how can we do it in a meaningful way?
How to use the KanBo Value Risk Matrix template?
The easiest way to use the Value Risk Matrix Template is by using KanBo Cards. Using the KanBo Cards, the team can make its choices based on the reported risk and value factors.
The KanBo Cards are distributed across the team. It is a template that can be used to prioritize projects and initiatives across the enterprise. By using KanBo Cards, you are encouraging people to be honest about risks associated with their projects, making them more accountable.
In short, KanBo’s value-risk matrix makes the whole process of decision-making easy and efficient.
1. Add Value-Risk matrix template form the KanBo template gallery.
2. By adding cards to individual lists and specifying their order in each list you indicate the relationship between value and risk.
3. Move cards with value and risk between and up and down in Value-risk lists. The place of cards in the list describes the place in Matrix. High or low value. High or low risk.
4. Cards in List High-value, low-risk. Are the “low-hanging” fruit. These Cards should be strongly considered for further development given their high potential impact on the business and the ease with which they can be implemented in the first order.
5. High-value, high-risk items are often broader, more strategic initiatives that require a much greater investment of time, money, and/or effort.
6. Low-value, low-risk opportunities may be worthwhile exploring eventually, but they should not be prioritized above the high-value features you’ve identified in your project.
7. Low-value, high-risk items should be avoided at all costs.
In which industries do you find out the Value-Risk Matrix to be most useful?
The Value-Risk Matrix has already been used widely in the automotive, chemical, and power industries and by large and medium enterprise customers. We have seen KanBo Risk Matrix especially useful in the fields of engineering, mining, manufacturing, construction, and petrochemical industry.
Tips to use the KanBo Value-Risk Matrix template.
The most important aspect of using the KanBo Value Complexity Matrix Template is the format in which the lists and data are displayed. Therefore, it is important to use the correct framework for your organization.
Different vendors have different implementation templates for their product and business value-risk matrix. However, it’s crucial that you don’t make it too complex.
Consult with the experts from your Enterprise, find out what the content of your template is and what best practices they recommend.
Can I create a Value-Risk Matrix template with the information I have at hand?
Absolutely! You can create a value-risk matrix for any project and/or any initiative by using the KanBo Risk matrix template, the standard Business Decision Process Template. All information which you have at hand put in a KanBo Card and list all in the matrix.
What are the benefits of using a Value-Risk Matrix to make decisions?
The Value-Risk Matrix Template helps you to gauge the impact of various factors before making your decisions. The KanBo Value-Risk Matrix Template makes the process of project and initiative prioritization, and overall project and initiative management more accurate and efficient. It enables your team to be more honest about risks associated with your projects, making them more accountable for your decisions.
Is the Value-Risk Matrix important for enterprise?
Yes, the Value-Risk Matrix is important for your Enterprise. The framework reduces the time needed to prepare a thorough risk assessment and allow you to choose what to focus on. The validation of risks and the data creation process will significantly save time and resources.
It can also be used to design more scalable and effective processes and projects.
In any case, the framework can be an excellent starting point for the design and validation of your Enterprise’s process.