Product Development is essential for the company to stay steady or advance in the market competition. However, the mainrnchallenge in product development is associated with the uncertaincy risks that may appeared during the design process. Such risks may affectrnthe success rate of the product development and may contribute either to a small or a huge loss, in which the sustainability of the companyrncan also be affected. To mitigate the risks in product development, risk management is critical. CV. XYZ is a company producing dairybasedrnproducts such as mozzarella cheese and yogurt. This research is aimed to identify the potential appeared risks, to arrange the priorityrnorder of risk agents and to conceptualize the risk mitigation strategy to be applied. A Yogurt drink product development is needed by CV.rnXYZ to support the company goals of the product and market expansion. House of Risk (HOR) method was used in this research. Twornphases included in the identification process, namely marketing and product development design. The research results have examined 20rnrisks with 27 identified risk agents. Using the Aggregate Risk Potential (ARP) value, and Pareto 80:20 principal, this study provides arnstrategic guideline as how to mitigate the top-three identified risk agents.