How to Manage Risk in Agile? ROAM Explained

The importance of risks can not be emphasized enough. Effective risk management is critical to the success of any project. ROAM risk management can help to make sure that you are effectively managing risks at every level of your Agile organization. Poor risk management can have serious consequences, not only within the scope of the project but also, in the long term, in the reputation of the company. These days, risk management has become an essential part of any company's planning method, and within the scope of this article, we will explain the importance of the risk management model called ROAM.

What Is the ROAM Model?

The ROAM model is a risk management approach that helps organizations identify and deal with all potential risks appropriately. ROAM is an acronym for Resolve, Own, Accept, and Mitigate. These are the four actions to take to solve a potential risk. The ROAM model encourages collaboration on every level, as the entire Agile organization is called to help identify and prioritize risks. Further, the ROAM model creates a system of accountability for risk management that saves time, effort, money, and stress. Implementing a simple risk management model like ROAM to proactively manage risks could be the difference between success and failure for an entire organization.

What Does ROAM Stand for?

ROAM is an acronym for Resolve, Own, Accept, and Mitigate.

1. Resolved

The determined risk isn't a threat at this time. No action is required.

2. Owned

Because the risk can't be resolved during the meeting, a team member is chosen to "own" the resolution of the risk. This team member is responsible for managing the risk.

3. Accepted

The risk in this category can't be resolved, and the only action to take is to accept it as it is and to deal with the risk as necessary.

4. Mitigated

A plan has to be formulated in order to eradicate the threat of the risk.

ROAM Board Template

Here's a sample ROAM board template you can use for risk management:

ROAM board title: Project X Risk Management

What Are the Benefits of ROAM for Risk Management?

The ROAM model encourages a culture of collaboration on every level, as the entire Agile organization is called to help identify and prioritize risks. Further, the ROAM model creates a system of accountability for risk management that saves time, effort, money, and stress. Implementing a simple risk management model like ROAM to manage risks proactively could be the difference between success and failure for an entire organization.

How to Create a ROAM Board to Manage Risks?

A properly used ROAM board can have a crucial role in a project by identifying the risks to reaching the team's objectives. One of the best ways to create a ROAM board is by using a kanban board as it is a pull system that makes risks visible and easy to prioritize by the level of impact. ROAM boards show aging and unresolved risks that need attention. There are also ROAM templates that can help you use pre-designed templates for scaled Agile framework (SAFe). You can use tools to create ROAM analysis boards and share boards for real-time collaboration with your team.

How to Use ROAM Risk Management at Every Level?

The ROAM risk management model can be used not only within Agile teams but also for managing risks at higher levels. Usually, team-level risks are handled at the team level. The risk that may affect the entire Agile Release Train must be escalated to the Program level.

Having effective risk management practices means that teams won't have to worry about managing the same risk repeatedly. Further, risk management practices for higher-level risks are more likely to be successful, as they will take the whole scope of the risk into consideration.

Can ROAM Be Used in Agile?

Yes, you can use ROAM in Agile. Agile project management is an iterative approach that focuses on frequent value delivery and getting fast feedback from the market to adapt to emerging changes quickly. It focuses on working on small batches, visualizing processes to create transparency, collaborative working with the customer, and getting feedback as fast as possible. ROAM provides Agile organizations with a collaborative, proactive, and actionable approach to practicing risk management at scale. ROAM allows Agile organizations to identify and categorize risks easily.

Managing Risk Across the Organization with Businessmap

The Initiatives and Outcomes dashboard in Businessmap is a valuable tool that offers an overview of the status of outcomes (key results) and work initiatives (objectives). This enables you to easily identify any delays, outcomes at risk, or trends. By leveraging this information, you can improve your outcomes management, make data-driven decisions, and enhance risk management practices across your organization.

Visualizing strategic initiatives and outcomes along with their actual completion progress and projection

Here are some of the benefits that the feature offers:

• Centralized Visibility: The dashboard brings all your initiatives and their associated outcomes (think key results) together in one place. This allows you to see the progress of various goals and identify potential risks at a glance across departments and teams.

• Risk Identification: The dashboard's pie charts can help you visualize data quickly and spot initiatives or outcomes that are "at risk." This early warning system allows you to take proactive measures to mitigate those risks before they derail your projects.

• Data-Driven Decisions: The dashboard helps you compare the actual work progress against the goals set for initiatives. This allows you to identify areas where tasks might be taking longer than expected, indicating potential resource constraints or other risks.

What Is the Relationship between SAFe and ROAM for Risk Management?

SAFe (Scaled Agile Framework) doesn't provide a solution for scaling risk management across the various levels of the Agile organization. Most Agile practitioners have identified that categorizing risks is the best approach for practicing risk management at scale, as it is a collaborative task. Collaboration is an integral part of any Agile organization, and ROAM provides a model for effective risk management at scale.