What steps should be taken to create a risk assessment and risk plan?

Identify the risks. Determine the probability and severity of each risk. Develop contingency plans to ameliorate each risk.

Communicate the risks to stakeholders. Request additional funds to cover contingencies on the most important risks.

Add additional days to activity durations to build in a cushion. Identify areas in the project that can be cut out, if necessary.

Utilize project tools. PERT or Gantt charts, work breakdown structures to identify risk, track issues, and mitigation risks.