Project Risk Management, Essay Example

The risk management process is the identification, the assessment, and subsequent prioritization of the various risks in the implementation of the project. This is followed by the economical and coordinated application of the resources to monitor, minimize, as well as control the probability of the unfortunate events or simply maximizing the realization of the various opportunities. The problems that were associated with the project and the project team is that there was poor identification of risks, poor risk analysis, poor prioritization of the risks, inadequate development of the management plans, poor evaluation of the progress, as well as reevaluation of the risk exposure.

There are several opportunities that exist within these problems. The project team will have the ability to carry out an evaluation of the whole process of project implementation. The identification of risk will help in the definition of the various sets of events that are likely to impact on the project schedule, cost, or the technical performance that is acceptable. Adequate risk analysis will be focused on the assessment of the probability that each of the identified risk will eventually occur. Moreover, from the challenges the project team will learn to prioritize the risks that are focused on the determination of the relative rank order for the identified risks. Low to high risk within the risk ranking is eventually computed as a particular function of each of the risk’s potential impact on the project implementation.

Following the successful identification of the project challenges, the project team should come up with the management plan for each of the risks. The plans should incorporate frequent monitoring of the actions towards handling of the risks in the context of completion dates and status. Finally, the project team should carryout progress evaluation and reevaluation of the risk exposure. This will help in the identification and assessment of the project risks and categorization into either low or high risk. In a nutshell, the project management team should be involved in the whole process of project implementation, critically taking notice of the different levels or risks involved.

References

Project Management Institute, A Guide to the Project Management Body of Knowledge, (PMBOK Guide), Fourth Edition, ANSI/PMI 99-001-2008, pp. 273-312.