Software risk management

In mature engineering disciplines, risk management has been de rigeur for centuries. When Michelangelo set out to raise the dome of St. Peters in 1547, he was well aware of the potential collapse zones under the staging, the possibility of materials failure, and the human capacity for error. For each of these major risks he prepared a mitigation plan: a fallback, a safety factor, or an alternative. Today, we routinely practice risk management in our stewardship of the environment, in planning financial strategy, in construction engineering, and in medicine. But how do we apply it to the ultimate risky business, software development?