Project Risk: 450+ Words Discussion And TWO(2) Responses With 100+ Words (Strict Only $10) With Responses.

Reflection and Discussion Forum Week 7

This week I reviewed chapters Opportunity Risk Management, Strategic Risk Management, and Communicating Risk. These chapters provided insights on introduction to opportunity risk management, concept of opportunity risk, opportunity risk in projects, examples of opportunity risks, managing opportunity risks, introduction to strategic risk management, strategic issues for project risk management, PRMS process strategies, introduction to communicating risk, communication theory and models, components in the communication process, communicating risk in the PRMS cycle, communicating project risk beyond the project stakeholder organizations, and evaluating risk communication (Edwards et al., 2019).

Risk communication is one of the important tasks in a project. Project manager should identify potential risks and then equip project team with an ability to deal with project risks effectively. It helps in enhancing problem solving skill in project team. To communicate risk in an organization, firstly risks needs to be identified. Stakeholders’ involvement is important in this process. During project conversation, stakeholders should be engaged, and project managers should use correct and effective tool to properly communicate project risks. There are certain steps that a project manager can follow while communicating project risks such as: involving the project team, considering stakeholder location, utilization of technology, and using reporting and alerts.

1. Briefly describe what role employees have as risk owners on a project team.

As risk owner employees should monitor risk response plan, identify tasks, and control and manage assigned tasks. Employees should be accountable for processing assigned tasks. Also, they should identify project risks and include key stakeholders in risk communication. Risk owner is not required for each identified risks as there are numerous identified risks in an organization. In such situation, it is not practically possible to assign risk owner on each identified risk. Also, it will delay the team progress. Most critical risks should be considered, prioritized and risk owner should be assigned. When risk exceeds set tolerance level in risk management process, risk owner should be assigned. However, continuous risk monitoring should be considered for accepted risks. Correlation between interdependencies of risks and accepted risks too should be considered.

2. Why is it important to define a project’s constraints in a project scope statement as it relates to risk control?

Defining project limitation/constraints helps in managing finance, time, resources, and project scope. As these variables are interrelated, so project limitations should be carefully analyzed and understood by project team. For instance, increase in project time can lead to cost overrun. Project constraints provides an opportunity to project team in analyzing project from various dimensions and provides opportunity to come up with best possible solution to effectively manage a project. Yet, there might be some project constraints that can show up at any phase of project lifecycle such as change in project scope, scarcity of resources, change in methodology, and change in customer/supplier behavior. Project team should try to accumulate as much constraints as they could find out in the early stage of project life cycle so that they can have solutions when they require.

References

Edwards, P. J., Serra, V. P., & Edwards, M. (2019). Managing project risks (1st ed.). Wiley-Blackwell.