Question

Risk management is an important part of the project management process, how much time do you believe should be spent on the process within the scope of the project?

What process should the project manager take to identify the risks?

Discuss the risks that are common in project management. Provide examples.

Answer 1

Risk Management

For any organization and its project risk management is an important component for management to ensure that they do not find any obstacles in the path of the process of completing their project and that is the reason risk management is executed every working time of the project and it just not consider on the actions that are being held in front but also the actions which are going to held in the future are carefully monitored to ensure that the project is completed effectively and efficiently. The process of risk management should be executed the entire time until the project is successfully completed.

Now let us discuss the process through which project manager can identify risks

• The project manager should monitor the entire project process even before the project is started in which the manager will identify visible threats and risks that can come in the way and make a list of them according to their prioritization and threat level.
• After identifying the risks and making their list the project manager should make plans according to which the project will be started and this will help the project to start and be cautious about the risks that can be dangerous for them which will make the project start more efficient.
• Then at every stage of the project the manager should keep monitoring for any such threats and also preplanning the next step when there is any change in the plan between the project this will make sure that we are moving at the right path and considering all the possible risks.

There are several risks that are very common in project management. For instance the common risk for every project is financial instability. A project is being executed within the organization and suddenly due to situational change the process of the project needs to be changed in which some equipment or professionals are required which was not part of the plan earlier. This raises the cost of the project and shakes the financial structure of the project and to avoid this the project manager always keeps a financial reserve for the organization and it can be used at this kind of situation to restable the project at the correct path.