Get a Free E-Book! ($50 Value)
HIRE A WRITER!
Paper Types
Disciplines
Get a Free E-Book! ($50 Value)

Risk in Management, Essay Example

Pages: 1

Words: 648

Essay

Sasol was a large South African conglomerate that focused on engineering processes, particularly focusing on the conversion of coal to other products such as oil and chemicals.  The Benfield Column Project was based (caused) on an accident: a raging fire started in a regeneration column in the Benfield Unit- a factory associated with the firm. The fire severely damaged the column: The column, approximately 70 meters high, leaned to one side after the fire, necessitating immediate repair. In particular, the column needed the damaged portion of the column shell to be cut out of the existing configuration and replaced in the time period of 47 days.

A project team was assembled to take on the task: There was a total of 27 members; the team came from around the world.  There were numerous inherent risks in the project based on the team’s strategy.  One of the main risks was cost: The project managers decided they would not select cost as a key metric for selection.  In fact, they would only focus on the project’s schedule, attempting to complete the repairs as soon as possible in order to prevent further financial loss. By focusing on the timing, however, project managers exposed themselves to tremendous financial risk, in that, the project may choose to “waste” resources in order to make the timeline.

The project managers, however, adopted other principles that could have conflicted with other stated principles, and thereby leading to amplified risks.  For example, while project managers stated that the project would be schedule-driven and not cost driven, they also stated that quality and safety would not be compromised. This introduced numerous risks including the fact that the schedule itself would not be met if the main metrics for the project depended on time. The tradeoff between time and other considerations was a main matrix for risks.

Third, the project managers did not include any extra time (or float) into the scheduling of the project. This essentially amplified the risks inherent in the ability to meet the deadlines in the project with the already noted emphases on both time and quality.  The fact that no extra time was included in the project could have easily led to problems in both the construction of the pillar and the ultimate quality of the pillar if it needed additional resources and work that were not originally budgeted into the process.

Fourth, project communication would involve all major stakeholders; it would not be limited to within sub-divisions or silos of the project management team.  This was a big decision and risk because the need to align communication across the project with the noted limitations on time and no plans to extend time for other parts of the project.  The need for communication across all teams also increased the risk of friction and or miscommunication if people involved in the project did not understand what was happening. The fracturing of teams, and its knock-on effect on teamwork, was a potential risk in trying to keep everyone together.

The final risk involved in the project was the risk of failure. Although this risk was inherent in any of the strategies selected by the firm, the probability of its occurrence was increased by the single minded focus of the program.

Overall, this paper has identified five risks involved with how the project was managed.  At the end of the day, we know that the project managers were not only able to manage these risks effectively, but they were able to finish before the projected deadline and under budget cost.  Thus, there may be ultimately something said about focusing on one or two discrete outcomes in project management, rather than merely focusing on cost and other potential drivers.

References:

Boggon, “The Benfield Column Repair Project,” PM Network 10, no. 2 (February 1996): 25-30.

Boggon, I.(1996). South African Repair Success through Teamwork. In J.Meredith & S. Mantel, Project Management. (pp.221-222).Hoboken, NJ: John Wiley & Sons, Inc.

 

 

 

 

 

 

Time is precious

Time is precious

don’t waste it!

Get instant essay
writing help!
Get instant essay writing help!
Plagiarism-free guarantee

Plagiarism-free
guarantee

Privacy guarantee

Privacy
guarantee

Secure checkout

Secure
checkout

Money back guarantee

Money back
guarantee

Related Essay Samples & Examples

Occupied America, Essay Example

Introduction Education inequalities have been present in the United States for long years. Ruiz (21), reviewing the level off segregation of Mexican Americans in America [...]

Pages: 1

Words: 939

Essay

Mexican Immigration, Essay Example

Introduction Mexican immigrants have been treated and used as cheap labor during the history of the United States. In the beginning of the 20th Century, [...]

Pages: 1

Words: 906

Essay

The Importance of Ancestral History, Essay Example

As time passes, history is becoming all the more important. As the future is being clouded with new and inventive technologies, many of the stories [...]

Pages: 1

Words: 1308

Essay

Doctors’ Diaries: Jay Bonner, Essay Example

The PBS documentary “Doctors’ Diaries” follows the lives of a group of medical students over the course of two decades, from the time they enter [...]

Pages: 1

Words: 765

Essay

An Overview of Ethical Theory, Essay Example

Abstract This paper will consider Social Contract ethical theory, virtue ethics, feminist ethics, care ethics, and respond to the prompts listed below. Explain the central [...]

Pages: 1

Words: 2982

Essay

Sustainability and Happiness: Real World Results, Essay Example

The idea of “happiness” is rooted in the founding of the United States, as the “pursuit of happiness” is considered to be an inalienable right. [...]

Pages: 1

Words: 994

Essay

Occupied America, Essay Example

Introduction Education inequalities have been present in the United States for long years. Ruiz (21), reviewing the level off segregation of Mexican Americans in America [...]

Pages: 1

Words: 939

Essay

Mexican Immigration, Essay Example

Introduction Mexican immigrants have been treated and used as cheap labor during the history of the United States. In the beginning of the 20th Century, [...]

Pages: 1

Words: 906

Essay

The Importance of Ancestral History, Essay Example

As time passes, history is becoming all the more important. As the future is being clouded with new and inventive technologies, many of the stories [...]

Pages: 1

Words: 1308

Essay

Doctors’ Diaries: Jay Bonner, Essay Example

The PBS documentary “Doctors’ Diaries” follows the lives of a group of medical students over the course of two decades, from the time they enter [...]

Pages: 1

Words: 765

Essay

An Overview of Ethical Theory, Essay Example

Abstract This paper will consider Social Contract ethical theory, virtue ethics, feminist ethics, care ethics, and respond to the prompts listed below. Explain the central [...]

Pages: 1

Words: 2982

Essay

Sustainability and Happiness: Real World Results, Essay Example

The idea of “happiness” is rooted in the founding of the United States, as the “pursuit of happiness” is considered to be an inalienable right. [...]

Pages: 1

Words: 994

Essay

Get a Free E-Book ($50 in value)

Get a Free E-Book

How To Write The Best Essay Ever!

How To Write The Best Essay Ever!