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Notes From Instructor About His thoughts About My Paper Gene If this was an academic theoretical in nature assignment this would be good as it is about general generic inherent risk that would apply to a major number of projects, i.e .academic- the how and why, but he assignment was specifically with respect to the project you selected. The assignment require; “Create a comprehensive detailed one page Contingency Plan for each your three highest identified risks in week three for your selected project from week one. • As these are your highest risk inherently you have to have a minimum of one page mitigation plan/strategy for each • A minimum of a 1/2 page for each of the three risk of the impact your mitigation strategies will have on the, budget, schedule, and scope of your project • A minimum of a 1/2 page for each of the three risk of the impact on the triple constraints if you have to implement your contingency plan.” Therefore I do not see any explicit contingency plan mitigation strategies or any impact on the triple constraints for the mitigation strategies or contingency plan, so you have substantially not fulfilled the requirements of the assignment. 

The Original Instructions For the Paper

Continue creating your risk management plan explicitly for your select project from week one assignment, by adding the following to week three individual assignment using the same format

Submit:

· A risk response chart that details your responses to potential risks, who is responsible, triggers, snap shot of your contingency plan.

· Create a  comprehensive detailed one page  Contingency Plan for each  your three highest identified risks in week three for your selected project from week one.

· As these are your highest risk inherently you have to have a minimum of  one page mitigation plan/strategy for each

· A minimum of a 1/2 page for each of the three risk of the impact your mitigation strategies will have on the, budget, schedule, and scope of your project

· A minimum of a 1/2 page for each of the three risk of the impact on the triple constraints if you have to implement your contingency plan.

 

NOTE: you can submit this assignment as a standalone assignment or a continuation of week 3 assignment

Format your paper consistent with APA guidelines.

Risk Management Contingency Plan

September 26, 2017

A Risk Response Chart

Risk Event	Response	Contingency Plan	Trigger	Who is Responsible
Market Competition	Reduce	Enhance quality of both products and services	Lack of addressing customer related issues	Employee
Loss of Reputation	Reduce	Enhance honesty and company to customer relationship	Lack of honesty	Management and employees
Damaged property	Reduce	Hire qualified personnel and ensure that the property is safe	Failure to train employees on how to handle property with care	Employee

Contingency Plan

Risk: market competition. The risk of market completion is real in any industry. However, an organization ought to have a strategy in place to ensure if the risk hits the organization, there will be a plan to deal with it. A contingency plan plays a significant role in helping an organization to get back on its feet and resume its operations (Cooper et al. 2014). The contingency plan of the hotel as far as the risk of Market Competition is concerned will help the organization regain its customers.

Identifying competitors. The first is to identify the competitors. The best way to deal with a threat is by knowing threat. By knowing the threat, one gets to understand the perspective of the competitors thus knowing the reason why the customers are running towards his direction.

Learn the strategies of the competitors. The reason why a competitor is a threat is that of the strategies that he or she uses. Therefore, the best way to know how to deal with the competitor is to know about the strategies that the competitor utilizes.

Gather advice from more established entities in the industry. More established entities will always have a lesson to teach (Fernández-Diego, 2013). By seeking their advice, one can know how they got to the position they are in, and that helps in the process of drafting a strategy.

Draft a more competitive strategic plan and implement. After gathering advice and knowing the strategies of the competitors, the last step is to draft a strategy that is more aggressive and effective than that of the competitors. After drafting it, there is a need to implement it to avoid the risk of continued competition.

Risk: Loss of Reputation

The reputation of an organization can be affected by different factors. The best way to the constitution a risk contingency plan is by identifying the reasons why the reputation was tarnished.

Fire or suspend the contributors. When the reputation of an organization is tarnished, there are factors that must be considered. It is apparent that some of the employees contributed to tarnishing the image of the company. Therefore, they should be dealt with once and for all. Without dealing with the contributors, recovering might be difficult.

Enhance quality. The quality of service delivery is one of the reasons which might lead to a tarnished reputation (Fernández-Diego, 2013). Therefore, in such a case, it is apparent than enhancing the process of service delivery is likely to win the hearts of the customers once more.

Communicate with the customers or the community. Communication plays a significant role in winning back the trust of the customers or the community. Therefore, the management will be needed to come out in public and explain what went wrong. It is not wise for the company to shift blame, it should accept the blame and promise the customers or the people affected that it is committed to rectifying where it might have gone wrong (Fernández-Diego, 2013). By so doing, the company gets to earn the trust of the customers or the community once more. The hotel also must state its categorical course of action. Brand loyalty is created through mutual trust. Therefore, the customers need to feel as part and parcel of the organization and that only happens if the company is transparent.

Risk: Property Damage

In any given organization, there ought to be issues related to property damage. Human beings are prone to errors and some of them lead to property damage. Property can also be damaged by natural calamities. However, the company must ensure that in the case of any property damage, it does not stagnate.

Improve efficiency. Efficiency can be improved through training and availing all resources needed to handle the property more efficiently. The best way to ensure that the damage does not occur again is to enhance efficiency (Team, 2014). The reason for doing so is to ensure that the same problem does not affect the hotel again.

Eliminate the damaged property. Damaged property cannot be used in the process of making sure that the operations of the company continue. Therefore, there will be a need to eliminate all damaged property for the sake of giving the company a chance to progress.

Purchase new property. The final stage is to purchase a new property. Despite the circumstances, the company has to move on from its situation. With that in mind, there is a need to bring in new property. However, at this stage, there are factors which must be considered in the process of purchasing new property and they are; the type of property, the ability of the employees to handle the property and the safety of the environment of the property.

Mitigation Plan

Risk: Market Competing

Competitive prices. Competition cannot be eliminated in the modern business world. The best way to avoid the risk of competition is by making sure that the competitors do not get a chance to win the trust and the royalty of the customers (Raz & Michael, 2001). Prices play a significant role in attracting more customers. When the prices are lower, the customers tend to seek the services or goods of the company. As a result, brand loyalty is established.

Quality services. Quality services will always make the customers come back. The hotel ought to ensure that it only hires employees who have a passion for serving the clients. By hiring employees who have a person to serve, it is apparent that the services offered will attract more customers thus giving them no reason to seek the services of the competitors.

Creating value for products and services. Creating value for products means that when a customer purchases a product or a service, he or she feels that it was worth purchasing the product at the purchased price (Klakegg, 2016). Creating value for the product is not determined by the price but rather by the quality of the product. For example, Apple is an organization that sells its products at a relatively higher price than the competitors. However, customers say that it is worth because the products are of a higher value compared to those of the competitors.

Risk: Loss of Reputation

Honesty. Honesty is a virtue that is effective in every business aspect. The best way to ensure that the reputation of a company is not tarnished is to ensure that the company is honest in its operations. Most of the times, organizations get into trouble due to lies from the management or employee to the customers and also to other stakeholders. Therefore, being honest ensures that there is trust between customers and the organization and that has an effect on the reputation of the company.

Efficiency. Efficiency eliminates errors which might lead to the reputation of an organization being tarnished (Klakegg, 2016). Therefore, improving efficiency means that there will be no mistakes in products as well as the services provided which might lead to the image of the company being tarnished.

Good customer relationships. Customers are human beings and they can understand when an error occurs. However, there must be a good relationship between the customers and the organization. The good relationship makes it easier for the company to explain any situation and for the customers to easily understand instead of spreading negative information about the company (Klakegg, 2016). A company can establish a good relationship by ensuring that it continuously updates the clients on any issue that might be raising questions. When the company does so, the clients feel as part and parcel of the organization. Therefore, spreading negative information about the company may make the customers feel like they are betraying the company.

Risk: Damaged Property

Enhance a suitable environment. The environment in which a property is placed plays a significant role. For example, if the company buys a property in a remote area where there are no other properties in the form of buildings (Klakegg, 2016). The building must be built on a stronger founding to protect it from the wind. At the same time using glass on the external walls might expose it to damage. Therefore, there is a need to ensure that the organization makes sure that the environment where the building is situated is suitable for its existence.

Have trained personnel in place. Damage also occurs when the people entrusted with the responsibility of handling the property are not trained on the best way to handle the property (Muriana & Vizzini, 2017). Therefore, the best strategy is to ensure that only the trained persons are given the responsibility is to train the staff dealing or looking after the property. By so doing, it will be easy to eliminate the damage to the property or make sure that in the case of any potential damage, the risk is minimized.

Purchase quality property. Sometimes property damage is caused by the nature of the property. When a property is not of high quality, it might end up being damaged after a minimal contribution of human error (Cervone, 2006). With this in mind, there is a need to ensure every property in the premises of the organization is of higher value and cannot be easily damaged. By so doing, the damage can be eliminated or minimized to a minimal damage rate.

The effect of marketing competing for mitigation plan on budget. To make sure that the mitigation plan is effective, the budget will have to be revised. However, the budget will only be affected by a minimal percentage.

The effect of marketing competing for mitigation plan on project schedule. Any extra activity or expense in a project must affect the schedule of the project. This is because the activity will need more workforce and attention (Cervone, 2006). Therefore, the time that the projected was planned to end might be extended by some days.

The effect of marketing competing for mitigation plan on the scope of the project. The mitigation plan presents additional activities which were not included before the commencement of the project (Ward & Chapman, 2003). Therefore, it is likely for the project scope to be affected by the mitigation plan since the whole process will have to include an activity that was not initially accounted for.

The effect of loss of reputation mitigation plan on budget. Loss of reputation mitigation plan has concentrated more on the actions of the company to enhance its reputation before the eyes of the customers (Muriana & Vizzini, 2017). In the plan, there are no extra activities that need to be funded, and therefore the plan will not have any effect on the project.

The effect of marketing loss of reputation mitigation plan on project schedule. The time that the company will take to ensure that there is a good relationship between the company and the customers will not have an effect on the project schedule and therefore the time allocated for the project will not be affected.

The effect of loss of reputation mitigation plan on project scope. The only effect that the loss of reputation mitigation plan will have on the project is from the scope perspective. The reason for stating so is because the activity will have to be added to the project and that will lead to the revision of the project scope.

The effect of damaged property mitigation plan on budget. Damaged property mitigation plan will affect a budget of the project (Caron, 2013). This is because the mitigation plan suggests training employees and that does not come without incurring an extra cost.

The effect of damaged property mitigation plan on the schedule. Damaged property mitigation plan will come with an effect on the schedule of the project (Cervone, 2006). This is because the additional cost comes with extended time to look for sources of finance. At the same time, the training of the personnel will affect the smooth operations of the project.

The effect of damaged property mitigation plan on the scope of the project. As far as the scope of the project is concerned, damaged property mitigation plan affects the project. The reason behind it is because the mitigation plan introduces new activities and expenses.

Impact of Risks on the Triple Constraints

Market Competition

Market competition risk has different impacts on the costs of the project. One of the impacts is associated with the nature of the project. When there is little or no competition, the budget of the project is minimal because there is no threat of the project results not being effective (Caron, 2013). However, when there is a potential risk, the cost of the project is high with the aim of attaining high-value results which will not be affected by completion. When it comes to time, the risk of market competition is still high. This is because the project must take enough time to ensure that the outcomes of the project are competitive. The case of scope is still the same. The project team must make sure that the market competition aspect is factored in a while including the activities and the procedures of the project. In short, market competition forces the project to go an extra mile that it would have if there were no such a risk.

Loss of Reputation

Loss of reputation is a risk that affects most organizations as well as projects. The aspect forces the project team to be more cautious than it would have been. The main objective of a project is to achieve results which will help in taking business from one level success to another (Muriana & Vizzini, 2017). A project spends more than it would have to bring in professionals as well as resources which will depict the organization as good and desirable. In the process of doing all that, the time that was intended to be spent to end the project is prolonged. When it comes to the case of scope, the project must factor in the strategies which must be implemented to deal with the risk of loss of reputation and that force the whole project to be revised for it to accommodate the new dimensions which are related to the risk.

Damaged Property

Damaged property is the risk that affects the time of the project more than any other risk. This is because the risk includes the process of replacing products or property which was already bought (Caron, 2013). For the replacement of damaged property to take place, there is the process of ensuring that the best property is identified to eliminate the risk once and for all. Therefore, the time aspect is affected. When it comes to cost, the project suffers a lot financially because more funds have to be allocated to take care of the damaged property. Therefore, the project might be forced to stagnate, increase its budget if it has the financial ability or borrows. When it comes to scope, an extra activity comes in place, and it has to be included in the project scope. Therefore, the project manager is forced to go back to the drawing board.

References

Caron, F. (2013). Project Risk Management. In Managing the Continuum: Certainty, Uncertainty, Unpredictability in Large Engineering Projects (pp. 67-74). Springer Milan.

Cervone, H. F. (2006). Project risk management. OCLC Systems & Services: International digital library perspectives, 22(4), 256-262.

Cooper, D., Bosnich, P., Grey, S., Raymond, G., Purdy, G., Walker, P., & Wood, M. (2014). Project Risk Management Guidelines: Managing Risk with ISO 31000 and IEC 62198. John Wiley & Sons.

Fernández-Diego, M. (2013). Project Risk Management. In Project Management for Environmental, Construction and Manufacturing Engineers (pp. 75-90). Springer Netherlands.

Klakegg, O. J. (2016). Project Risk Management: Challenge Established Practice.

Muriana, C., & Vizzini, G. (2017). Project risk management: A deterministic quantitative technique for assessment and mitigation. International Journal of Project Management, 35(3), 320-340.

Raz, T., & Michael, E. (2001). Use and benefits of tools for project risk management. International journal of project management, 19(1), 9-17.

Team, F. M. E. (2014). Project Risk Management.

Ward, S., & Chapman, C. (2003). Transforming project risk management into project uncertainty management. International journal of project management, 21(2), 97-105.