Why do so many projects fail, either operationally or financially? Many companies have become insolvent because they have not paid enough attention to risk. Existing methods of risk management often fail to identify many of the risks. A new method for dealing with such problems is known as RAMP. The actuarial and civil engineering professions have developed it jointly.

RAMP is a comprehensive framework within which risks can be managed effectively and financial values placed upon them. It aims to achieve as much certainty as possible about a long term and uncertain future. In the case of a new project, the RAMP process covers the project’s entire lifecycle, from initial conception to eventual termination. The process facilitates risk mitigation and provides a system for the control of the remaining risks.

This web site gives full details of the RAMP process - particularly in the section "Methods & Analysis" The other links are resources, contacts and other relevant information on RAMP, including the highly acclaimed RAMP handbook. Uses include:

• appraising new projects
• deciding on whether to invest in a project or lend money for it
• assessing projects under the Government’s Private Finance Initiative
• buying a business
• launching a new product or service
• reducing risks in an ongoing business

The method is disciplined and, when applies carefully, ensures that all major issues get addressed. It pays special attention to disaster scenarios, even if the probability of occurrence is low.