Difference between risk mitigation plan and contingency plan | iZenBridge

Stuck with The Project Management Professional (PMP)®? Enroll in our PMP® Online Training and Get PMP® Certified in 45 Days with PMBOK® Guide goo.gl/l2aQOq
Join the latest discussions on PMP® Certification Training and Exam goo.gl/91L1cw
The video talks about the significant differences between Risk Mitigation Plan and Contingency Plan.
While studying Project Risk Management knowledge area, most of the PMP® exam aspirants get confused in between Mitigation Plan and Contingency Plan. This video clears the confusion and illustrates the difference between two with real life example.
Mitigation is doing something proactive to reduce the probability or impact of risk while in contingency, you identify the triggers/figures that may result into risk but set them aside and look for warning signs.
When we mitigate, we plan and invest in advance, while in contingency, we look for warning signs.
You can join in the conversations and be a part of the current discussions on iZenBridge Forum. Post your questions and suggestions here goo.gl/VCSKGE
You can also subscribe to our KZbin channel and receive email alerts of latest video upload.
You can also join our free Webinar/Google Hangout sessions. Visit www.izenbridge.com/webinars/
Enjoy Watching Video!
The Project Management Professional (PMP), PMBOK, The Agile Certified Practitioner (PMI-ACP), and The Professional in Business Analysis (PMI-PBA) is a registered mark of the Project Management Institute, Inc.
PMBOK is a registered mark of the Project Management Institute, Inc.
Materials in this video are based on the text, A Guide to the Project Management Body of Knowledge, (PMBOK® Guide) - Sixth Edition, Project Management Institute Inc., 2017.
The PMI Registered Education Provider logo is a registered mark of the Project Management Institute, Inc.

[@ETTOLBALahcen]

Hello Saket, I'm from Morocco and I watched almost all your videos on youtube and now I've just received the confirmation from PMI that I'm certified PMP. I want to thank you so much for all you did because you really helped me a lot during the exam preparation. I also want to tell you that not only you teach PMBOK but you breathe PMBOK as well through your gestures, your accent, your voice tone, your eyes. Keep Going and thanks again and again. With Regards, Lahcen

[@izenbridge]

That's Great ETTOLBA Lahcen, you may like to join our Forum www.forum.izenbridge.com

[@maadhav1]

Your real life examples for the concepts are the best part of your video. Easy to remember and recollect. Keep this coming !

[@izenbridge]

Thanks Madhavan for your kind words, keep exploring iZenBridge KZbin Channel.

[@atmakurivijay4029]

Excellent Explanation. Thank you for your efforts !!

[@jay1232000]

Very helpful. Thank you for sharing your knowledge with the world.

[@nazrulquader1533]

Thank you, Saket for the discussion. Very clearly explained.

[@izenbridge]

Thank you for your kind words :) we are happy to know you found Saket's programs helpfull

[@sunnymornings]

You are great in all your videos ! Thanks again for this explanation

[@izenbridge]

+sunnymornings thank you for the appreciation :) stay connected

[@phonsa]

Thanks for explaining it in a simple manner, again! Wish I knew about your program earlier.

[@izenbridge]

thanks for exploring :) stay connected for future programs

[@aishravan]

This was really helpful as I have always been confused with these two terms. Thanks a lot.

[@izenbridge]

Hi Vipin, Thanks for exploring our content and also thank you for your valuable feedback. You can explore our complete content of PMP (Project Management Professional) Based on PMBOK6 here: www.izenbridge.com/pmp/online-course/

[@josephsene290]

Deeply clear, many thanks for your great explanation.

[@izenbridge]

Thanks for exploring our content :) good to know you found it helpful. You can explore our complete content - www.izenbridge.com/pmp/online-course/ You may also drop in your training related queries at [e-mail]

[@omarpapseycham105]

Thank you for this incredible and detailed explanation. It is really one of the best presentation so far in that area. Wishing you all the best. Papsey

[@SaketBansal]

Thank you for your comment here.

[@arifnizam3673]

The method of your explanation shows how profound or indepth knowledge u possess about the topic. Please keep uploading more videos sir, thank you.

[@izenbridge]

Thanks for exploring our content :) good to know you found it helpful.

[@jay1232000]

I agree with you Arif Nizam

[@hiyer8790]

Simple and Clear, thank you!

[@izenbridge]

Thanks for exploring our content :) good to know you found it helpful. You can explore our complete content - www.izenbridge.com/pmp/online-course/ You may also drop in your training related queries at [e-mail]

[@Vroom911]

Perfect explanation, keep it up the good work! thanks:)

[@izenbridge]

Thanks for your kind words :) it motivates us to work better

[@marun801]

Thanks for your video on this. Now I am clear the difference b/w those two plans.

[@izenbridge]

Good to know you found our videos helpfull :)

[@SrividyaNatarajan]

Beautiful car eg. to differentiate mitigation/contingency plan...Saket....you rock!!

[@izenbridge]

+Srividya Natarajan thanks for exploring our videos :) stay connected

[@amjadaliikram7212]

An excellent presentation style which is aligned with beginners mind. Well done and keep it up!

[@izenbridge]

Thanks for your kind words :) good to know you found our resources helpfull, stay connected

[@fahimulashim5582]

Good example, got some clarity. Thank you

[@izenbridge]

Glad it was helpful! Saket does many trainings apart from PMP, he is the lead trainer for ICP-ACC, ICP-APM, ICP-BAF, SAFe, and many more. In case you need more details, please visit iZenBridge.com

[@emilyt9361]

Thank you, nice explaination.I am a Disaster management officer and it helped me a lot.

[@izenbridge]

That's Great!!! For more join us @ forum.izenbridge.com

[@mandarTube]

Thanks sir. Today also this content is so relevant. Nicely explained sir. Easy language. My understanding is more clear now. You are the best ❣️

[@izenbridge]

Thank you.

[@aruanaifunaoa3706]

That was certainly helpful!! Thank you..

[@izenbridge]

Thanks for exploring our content :) good to know you found it helpful.

[@as4uu]

nice explanation, Made my doubts clear. Thank You !!!!

[@izenbridge]

+Abhishek Sinha Good to know that our resourecs were helpfull for you

[@V.G.S..]

well explained .. ..nice detail video's from you... thanks

[@izenbridge]

+Vinu Samuel good to know you liked our videos

[@vbssreeramamurthym2230]

i can say the explanation is simple and fantastic.

[@izenbridge]

Thank you!! SreeRama, for exploring and liking our content. In continuation to it, you can also explore our video on Risk Responses Strategies (as per PMBOK Guide Sixth edition) kzbin.info/www/bejne/qIi9XpKGnZpqd80

[@fatuwillis]

Thanks! Great explanation and examples

[@izenbridge]

Fatoumata Cissoko-Willis Thanks for the appreciation :)

[@TheManubarcafan]

you are a KING

[@sanjarysrivastava2620]

Very nice and simple explanation.Thank you :)

[@izenbridge]

Thanks for exploring our videos :) stay connected

[@lilianmukisa3291]

Thanks for the clarification

[@izenbridge]

Thank you!! Lilian, for exploring and liking our content. You can also explore the following video on "Risk Responses Strategies" as per PMBOK Guide Sixth edition kzbin.info/www/bejne/qIi9XpKGnZpqd80

[@VueloPrivado]

Really helpful, thank yo very much!

[@izenbridge]

Thanks for your kind words!! Keep an eye on our upcoming videos, we publish them from time to time.

[@prakashbabukanaparthi]

Excellent

[@mroyon]

Your exp. are too good. thanks a lot

[@izenbridge]

Glad it was helpful! To know more iZenBridge PMP program, please visit - www.izenbridge.com/pmp/online-course/ It is complete and comes with an end to end support.

[@mohammedyounis8350]

Many thanks for well explained, but do you mean in concept that we shall use contingency plan if decided to select Accept strategy (Active acceptance) !!

[@VeenaMehra]

Very well explained!

[@izenbridge]

Thanks for Liking it... :)

[@hpramono20]

Thanks very clearly for the explanation

[@izenbridge]

thank you :)

[@subghh]

best video on mitigate and contingency !!!

[@izenbridge]

Thanks :-)

[@daanguitar]

Hi there good video and totally understand the concept of contingency (= potential financial buffer) versus risk mitigation!! Question: at 3.48 until end of video you are talking about time buffers. Is this what is generally called "slack / float" in project schedules? I have been watching some videos on (total slack and free slack). Do you think its true that if you create "slack" on activities on your critical path (I am keeping in mind your taxi drive to the event) that you do that for the activities which have high Risk and that when the Risk / Issue occurs you can either Request extra Budget from client (Variation Order) or use indeed your Contingency buffer for extra resources dependent by whom the Risk / Issue has been introduced (client or supplier). In this way the whole concept of "Slack / Float" is intrinsic to the concept of Contingency however Slack is a Time buffer and Contingency a Financial Buffer (but not perse a time buffer is you have not planned for it). Both concepts are often misused!! Just double checking :) Let me know your thoughts.

[@manjunathchandrasekaran5657]

Excellent example 👏👏

[@izenbridge]

iZenBridge Consultancy Pvt Ltd 1 second ago Thank you, for liking this video, it is aligned with PMBOK 5. Now we have complete PMBOK 6 program which also has better quality videos, you may like to check our program page for more details: www.izenbridge.com/pmp/online-course/

[@pedromimo1952]

Hello! You were talking about Contingency plans and reserves in Plan Risk Responses but what about Management Reserves? Are they managed in Risk Management processes also? Or just in Define Budget as they are not involved with risks? Thank you!

[@izenbridge]

Yes, Management Reserves are part of the project budget. We plan risk for known- unknown where we know what can go wrong but when it can go wrong, it is not known. But sometimes we don't know that we don't know - these are examples of unknown-unknown. How can we plan something which is knot known? Management reserves are used to take care of such risks. So yes, management reserves are part of the project budget.

[@fareedkamran]

Man You Genious.... Thumbs Up..

[@izenbridge]

Hi Fareed, thank you for exploring our content. You can explore our complete content of PMP (Project Management Professional) Based on PMBOK6 here: www.izenbridge.com/pmp/online-course/

[@poonamchaudhary412]

Nice Video

[@sutarsandeep]

Very well explained...

[@izenbridge]

Thanks for exploring our content :) good to know you found it helpful.

[@mohamaddenno6686]

Perfect..!!

[@izenbridge]

Thank you!! Mohamad for exploring and appreciating our PMP content. You can also explore our complete content for PMP Online course based on PMBOK Guide sixth edition: www.izenbridge.com/pmp/online-course/

[@shahidparwez3187]

u r superb. recently i join as PM post.

[@izenbridge]

All the best

[@ub2320]

Hello. I am a student in master in France and due to the world crises the French bank called Societe Generale said that they did great on risk management because they did not get bancrupt during this though time. So my question is I am working on the enterprise in extreme dificult time: Societe General risk management. So what can I research specifically on this research to make it great in terms of risk management. Thank you so much and your advices will be well appreciated. Good luck with your amazing videos

[@izenbridge]

we do not have direct advice , but most the the successful and failed projects can give insight on risk management.

[@saifal-salman1532]

Perfect. Thanks

[@izenbridge]

Happy to know that you lied video. Keep watching!!

[@chubbyBunny94]

thanks :)

[@Oleander34]

Very helpful!!!

[@izenbridge]

We have a blog for this video too goo.gl/dIbJxa Stay Tuned!!

[@Oleander34]

Great!!

[@shahidhussain-jw5yc]

well done keep it up!

[@izenbridge]

shahid hussain Thank you.

[@mosesaiyevbomwan7771]

Nice videos!

[@izenbridge]

Thanks!!! Moses Aiyevbomwan you may like to join our Discussion Forum forum.izenbridge.com

[@sathyamslimshady]

Please explain what is static information and dynamic information in contingency plan

[@izenbridge]

Thanks for exploring our content :) Please discuss your doubts at forum.izenbridge.com You can explore our complete content - www.izenbridge.com/pmp/online-course/ You may also drop in your training related queries at [e-mail]

[@satish812]

Thanks Saket

[@izenbridge]

+satish812 thanks for exploring our videos :)

[@RitsRocking]

Nice one... Are you coming to Bangalore for a PMP training ?

[@izenbridge]

Hi Ritesh, i personally assist my clients via online media.. like we conduct exclusive web events and i manage online forum to clear the doubts, the classroom sessions for PMP are delivered by my trusted trainers... i remain accountable to all my clients

[@balakrishna-ek1ec]

Hi ritesh. This is bala,, I need some information, pls contact this num:08374866268

[@onlinesalehere9056]

Nice video

[@izenbridge]

Thank you :)

[@funduvar]

In general, I like the overall content and way of simplifying overall concepts. However it would be more helpful if examples are more relevant - bursting the car and having another car as part of mitigation plan looks odd in practicality.

[@izenbridge]

Thanks for exploring our content :) good to know you found it helpful, also thank you for your valuable feedback. You can explore our complete content of PMP Online Self-Paced Program here - www.izenbridge.com/pmp/online-course/ You may also drop in your training related queries at [e-mail]

[@izenbridge]

"Difference between risk mitigation plan and contingency plan" is gaining popularity among Project Management Aspirants... kzbin.info/www/bejne/n5O5l3SerpyKkLM #iZenPMP #pmot #projectmanagement

[@izenbridge]

Neeraj Goel you are near about the topic, you can get detailed info of the same on this blog www.izenbridge.com/blog/know-the-difference-between-mitigation-plan-and-contingency-plan/

[@sumitmitra7336]

If for a planned risk response ( A vendor defaulting on supplying project related equipment's), a contingency reserve is kept & as the project progresses , that risk doesn't happen , then what should the PM do next 1. Update the risk register & release the contingency reserve associated with that risk 2 . Retain the contingency reserve as a buffer for overall project risks 3. Inform the project sponsors & stakeholders that the procurement equipment's have been successfully purchased 4. Update the lessons learnt register stating that contingency reserve was not necessary

[@izenbridge]

A , and a includes B since you are releasing it for risk not for project.

[@sumitmitra7336]

@@izenbridge thanks

[@GIMFCFX]

Hmmm...this could be looked at as one being preventive action and one being corrective action.

[@izenbridge]

Thank you!! Demetriusbaker for exploring our Content. Mitigation is a proactive action to reduce the impact of the risk while in contingency, we look for warning signs. In continuation to it, you can explore the video on "Risk Response Strategies" kzbin.info/www/bejne/qIi9XpKGnZpqd80

[@jaquar001]

you said, in contingency, we will not Invest anything, but the example you given, you told to invest time in advance of 30 to 1 hr which is what contradicting !!!

[@izenbridge]

Thank you!! Jaquar for exploring our content. As per PMBOK Guide contingency reserve is the Time or money allocated for the project for known risks with active response strategies. In this case, we are not spending money, but keeping time as a buffer for alternate arrangements (in this case extra money may or may not be used). We are reserving some time for a risk which may occur.

[@hoovinakere]

Simple explanation.. but I the example for Contingency does not look right as there is no warning signal situation and yes you are doing something in advance. Starting early. I am spending more time in advance or preparing in advance. Contingency situation could occur if I am late (despite of all the mitigation steps taken) what do I do.

[@izenbridge]

Sorry we are not clear about your comment, are you sharing details of what is contingency as per PMBOK or asking some more clarification.

[@hoovinakere]

@@izenbridge My comment is about the example shared in this video about contingency. I don't think it is right. It still looks like a mitigation. You leave early so you don't get late. This is a mitigation. It is proactive. Contingency needs a trigger.

[@izenbridge]

@@hoovinakere ok . We respect your opinion .

[@izenbridge]

Risk Mitigation Plan v/s Contingency Plan is now live on youtube kzbin.info/www/bejne/n5O5l3SerpyKkLM #pmp #pmot #iZenPMP

[@mollyme5279]

iZenBridge Consultancy Pvt Ltd Thanks Saket. I passed my PMP exam on March 30th....You simply run the best PMP prep course!! Thank you sir!

[@anicettiba1230]

Well explained don’t thank you

[@anicettiba1230]

Well explained thank you

[@izenbridge]

Thank you for checking our videos on PMP, recent test taker shared that good number of questions comes around risk, we have complete PMBOK 6 based program with better quality videos now. You may explore details of our program here : www.izenbridge.com/pmp/online-course/