Question

A project manager and the project team should not focus on ‘project firefighting ‘but should allocate sufficient time and resources to preventing problems throughout the life of the project. Project Risk management is one way of preventing problems that can negatively affect the project objectives of cost, schedule, scope, and quality. Effective risk management is directed at eliminating threats and increasing opportunities to ensure project success.

(1) Examine a project that you have worked on or know about and discuss the types of risks or opportunities did the project face (be specific) and how did you/ the organization deal with uncertainty of these events?

(2) Identify and explain the key processes required for effective project risk management.

Answer 1

A project is an activity to be performed by respective teams to bring the targeted change, it has a specific start and end date. Project failure is a common term that comes around us time and again; there can be N number of reason behind its failure. In general a project success is at risk when it tries to bite more than it can actually chew.

1. Resources are crucial to any project success, resource management skill plays a crucial role. I clearly remember a project which focuses on developing a web based solution in its first phase development which might continue to add a mobile version if the project flags a success. Talking of risk, there were very limited experienced resources which has a working experience of developing a e-commerce website using the Magento platform. The company has hired multiple guys but were not satisfied with the performance or expectations. Moreover the project was deviating from the assigned timeline. Working for the solution the company/organization dealt by hiring a freelance developers (2 in number) by paying 1.5 times more what they were actually paying. This was a feasible solution as the company was concerned of targeted sprints on date and the hired developers got the benefit of working in their convenience.

2. It is crucial to understand that it is next to impossible to map all the risks and be prepared before entering into the project, there can be certain tried and tested processes which ensures the success.

• Make them responsible - Assigning ownership for different tasks in a project to a dedicated person is a very good and proven practice when comes to manage project risk. This establishes a clear communication channel and people are aware of connecting to right person in time of need.
• Analysis - this is a very crucial tool or practice which ensures project success if performed carefully. This again depends upon the experience and skill of Project Manager. While doing analysis one must think of probable future risk that could arise and how to handle then with minimum effect on productivity. If possible create a list of risk and map them while using the team and encourage them to provide inputs.
• It is always recommended to have a daily standup meetings within the team, this makes them aware of challenges and act accordingly.
• The team must focus of small development units to measure success. I mean to say that working on a project try to establish small milestones, once the team has achieved it they will get to discuss the opportunity and risks; by doing this they are engaging with each other and also small development units takes less time and efforts compared to bigger units.