Privatization in Patagonia, Coursework Example

Work out a mitigation plan for one scope risk, one schedule risk, and one resource risk.

A mitigation plan is a document intended to formulate a risk plan in a project by stating the likelihood of the risk events occurring and reducing the impacts of such risks. Scope risks are brought about by the uncontrolled changes that occur in a project or the continuous growth of the project’s scope. This happens especially where there are new features of the approved project designs without the corresponding increase in resources.

Mitigation plan of a scope risk

In the Argentina’s largest hydroelectric plant project, the most crucial scope risk was the uprising of new designs in the approved project. However, funds to complete the proposed construction lacked. This means that the construction process has to be suspended. Besides, the location of the site was in a very remote part of the country resulting in resource limitation.

Plan

One of the crucial ways to reduce the impacts of a scope risk is reducing the cost of operating or constructing a project. This means the materials required in making the project a success should not be overstated. For instance, obtaining low cost electricity is one of the ways of achieving this. Moreover, regular scheduling with the project should be done. The project manager cannot lose track of what the project requires. Through this, there is the ability to deal with any of the developments that the project may require because of its growth. Besides, there should always be enough equipment to facilitate the project up to the end. This helps reduce future insufficiency of such equipments following the growth of the project.

Mitigation of a schedule risk

A schedule risk occurs when a project takes a longer time than the management had planned. For instance, in the Argentina’s hydroelectric dam project the project took a longer time than it was expected. This is because there was a time it was suspended.

Plan

To avoid this, the management should always properly estimate the time that they think the project would take. This is possible through highlighting the different activities that will happen in the project and properly allocating the time that each activity will consume. In addition to that, there should always be proper management of time during the operation of the process. This will reduce the probability that the project will take a longer time than expected.

Mitigation of a resource risk

A resource risk in a project is brought about mostly by the money problems. In this case, the project cannot be successful since there will be no enough resources as well as labor to carry out the project. The success of the project in this case is marred by uncertainties resulting in eventual stalling.

Plan

The plan to cope up with the impacts of the above risks is possible through the creation of a schedule of all the activities carried out in the project and allocating the resources required in each of the activities. After that, the management must find the necessary resources required for project completion. It should also be made sure that there is an alternative to the supply of these resources.

Identify a risk that could be transferred, and describe how you would do it.

One of the risks that could be transferred in the project was the risk of a leaking dam. This could be transferred since the problem naturally existed since the inception of the project. In this case, there was cold water from the Andes Mountains, which caused the reservoir to be filled more than expected. This risk can be transferred through the re location of the reservoir or even the continuous reinforcement of it.

Work out a contingency plan for one schedule, one resource, and one scope risk.

A contingency plan in this project is intended to cope up with the results that may come out other than the expected results. One of the schedule risks is the project taking longer than it is expected. The following is a contingency plan for handling this risk.

Reservation of resources is the key thing. The management of the project must always ensure that resources are aside in order to ensure foster its continuity even if it takes longer than expected. Moreover, there should be communication. This means that the needs of each person should be known. There should also be the definition of periods. In the Argentina’s hydroelectric project, this was not present. The contingency plan of a scope risk is highly important. In this case, the actions to be carried out should be identified before the flagging of the project. There should be reservations of funds in order to provide for designs that may arise from the changing demands of the project. In the case of a resource risk, the contingency plan is much simpler. First, there should be different alternatives of resource acquiring. The management should gather as many resources although they will not be used immediately.