case study

qwer2668
RiskAnalysisExample.pdf

MASY1-GC1250 – Project Management in the Information Age Risk Management Example

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You are the project manager for OmniCorp’s Project Treadstone. Its goal is to create a functional, real-time operational metrics dashboard

intranet application for OmniCorp’s five widget manufacturing assembly lines and all related materials to allow for the Treadstone

dashboard to operate properly on an ongoing basis. The project is described further in the project scope statement accompanying

this assignment.

You and your team have reached the point where you are identifying project risks and analyzing them qualitatively. Your team has decided to

classify the impact and likelihood of risks according to the following categories:

Risk Categories Low Medium High

Impact Up to $10,000 in costs and/or up to one week of schedule impact

More than $10,000 and up to $50,000 in costs and/or greater than one week but up to one month of schedule impact.

More than $50,000 in costs and/or greater than one month of schedule impact.

Likelihood Less than 30% 30% to 60% More than 60%

Your team has identified project risks, analyzed them qualitatively and provided some preliminary results in the following table: For this

assignment, you are expected to complete the expected impact and expected likelihood columns based on the description of each risk in the

project risks table and the agreed-upon classification of risk in the risk categories table. For any risks deemed both high impact and high

likelihood, indicate the type of risk response (Avoid, Transfer, Mitigate, Exploit, Share, Enhance, Accept) you would recommend and suggest any

ideas for responding to the risk in the Risk Response Description column.

Risk Name Risk Description Expected Impact (H,M,L)

Expected Likelihood

(H,M,L)

Suggested Risk

Response

Risk Response Description

Testing Team Staff Availability

The head of the Quality Assurance team has informed you that she has had to commit her team to perform test planning and user acceptance testing for two other mission- critical projects which take priority over Project

H H Mitigate Hire temporary resources for Project Treadstone to handle the test planning and testing activities for the project. Purchase and implement a

MASY1-GC1250 – Project Management in the Information Age Risk Management Example

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Risk Name Risk Description Expected Impact (H,M,L)

Expected Likelihood

(H,M,L)

Suggested Risk

Response

Risk Response Description

Treadstone. “There’s no way I will be able to commit all of the senior resources originally listed in the human resource management plan for your project. They will be tied up for a solid two months on these other projects. I’m sorry, but I have no choice – the CEO and CFO have indicated these projects have to get done as scheduled.”

testing tool to automate at least some of the testing which will be required. Perform a cost/benefit analysis to quantitatively analyze this risk further and determine whether one or both of the proposed mitigation strategies are worth pursuing.