Chapter 5’s focus is on integrated processes and in particular, Risk Management. Project managers must consistently assess risks to both the project and the business throughout the project’s life-cycle. However, it is not enough to just identify the risks, project managers must also understand how they affect other areas of the organization and identify ways to eliminate the potential causes of risk before they happen. Effective risk managers must be capable of understanding more than the tools and techniques of risk management used in a formalized project management process. They also need to understand the dynamics of their organization and deal with the complex social, technical, and economic issues that determine the culture and value system of the organization (Thamhain, 2005).
This week’s assignment will help you identify and understand the different types of risks that must be considered when implementing projects by proposing a project from your current company or a past job at another company. As you read through the case studies from this chapter as well as the previous chapters, you will see that many risks are similar throughout organizations, but other risks are specific to a type of business or industry. Thus, a risk for a NASA project may be entirely different than a risk associated with implementing a new pizza franchise.
This week, the assignment is to think about your own experience with projects and answer the following questions related to risks.
Identify an organization/job that you are currently working in or have worked at in the past. Give a brief overview of the organization. If it is the same organization from last week’s assignment, think of a different way to describe the organization that would help us understand the risks you will be discussing. Based on your knowledge of the organization, answer the following questions specifically related to risk management:
Identify a project you would like to see implemented in your organization – it can be a technology or business specific project. Give an overview of the project and why it the project would be important to your organization. Please be clear in your explanation; all of your classmates work in different areas or industries and may not be familiar with your particular work area. If possible, please refrain from using jargon or industry specific acronyms.
Identify and discuss at least one type of risk that may originate for each of the following four areas. Thoroughly explain (a) why you consider it a risk, (b) the impact this risk has on the success of the project, (c) the impact this risk has on other areas of the organization, and (d) what can be done to mitigate the risk.
Areas (based on ‘Hexagon of Excellence’ (Kerzner, 2014, p. 303):
(1) Management/Executive Support
(3) Knowledge/training on implementing successful projects
(4) Integration of project into other organizational processes
How can top management facilitate effective risk management for your project?
You must respond to at least one other student’s posting. Your response must either include another risk that you’ve identified based on their narrative and an explanation for your answer, or a suggestion on how a specific risk identified in their posting might be mitigated or eliminated. Your response cannot be only an agree/disagree type posting. You must be specific in your answers. While not required, it is helpful to include examples from your own work experience for clarity and understanding.
Number each of your answers to correspond to the questions.
All of your answers must be in complete sentences. Be sure to proofread your paper before posting.
Minimum of 1 citation/reference from the textbook.
Post your response when completed by the assigned due date.
Kerzner, H. (2014). Project management best practices: Achieving global excellence (3rd ed.). Hoboken, NJ: John Wiley & Sons
Lientz, B. P. & Rea, K. P. (2011). Breakthrough technology project management (2nd ed.). San Diego, CA: Academic Press
Thamhain, H. J. (2005). Management of technology: Managing effectively in technology-intensive organizations. Hoboken, NJ: John Wiley & Sons