Step 6.7; Identify and quantify activity-based risks
Chapter 7 on Risk touches Risks inherent in the overall nature of the project have already been considered in on this topic in more detail. Step 3. We now want to look at each activity in turn and assess the risks to its successful outcome. The seriousness of each risk and likelihood of it occurring have to be gauged. At individual task level some risks are unavoidable, and the general effect if a problem materializes is to make the task longer or more costly. A range of estimates can be produced to take into account the possible occurrence of the risks.
Step 6.2: Plan risk reduction and contingency measures where appropriate
It is possible to avoid or at least reduce some of the identified risks. Contingency plans specify action that is to be taken if a risk materializes. For example, a contingency plan could be to use contract staff if a member of the project team is unavailable at a key time because of illness.
Step 6.3: Adjust overall plans and estimates to take account of risks
We can change our plans, perhaps by adding new activities which reduce risks. For example, a new programming language could mean that we schedule training courses and time for the programmers to practise their new programming skills on some non-essential work.
As well as the four new software modules that will have to be written, Amanda has Case Study Example: identified several existing modules that will need to be amended. The ease with Identifying risks which the modules can be amended will depend upon the way in which they were originally written. There is therefore a risk that they will take longer than expected to modify. Amanda takes no risk reduction measures as such but notes a pessimistic elapsed time for the amendment activity.
Brigette identifies as a risk the possible absence of key staff when investigating the user requirements as this activity will take place over the holiday period. To reduce this risk, she adds a new activity, 'arrange user interviews', at the beginning of the project. This will give her advance notice of any likely problems of this nature.
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What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.