Project manager improve the accuracy of the results

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Analyzing Risks (graded)

Risk analysis is a critical step in the overall process of risk management. How does a

project manager improve the accuracy of the results when analyzing risks?

How does a project manager gain consensus when analyzing risks?

In project management, risk identification begins at the earliest stages of a project and

continues throughout the project life cycle. Project risks can include unknown issues and

variability in cost, effort, timing, and benefits in relation to a specific project. As a project

manager, it is your job to anticipate project risks and to implement the necessary controls

before risks become insurmountable. Project managers typically classify risks as either

threats or opportunities. The practice of risk identification focuses on reducing the probability

and impact of a threat while increasing the probability and impact of an opportunity. During

the risk identification phase, a project manager must establish the various risk categories that

are pertinent to the project before selecting the appropriate tools and techniques to identify

risks.

In project management, risk identification begins at the earliest stages of a project and continues

throughout the project life cycle. Project risks can include unknown issues and variability in cost,

effort, timing, and benefits in relation to a specific project. As a project manager, it is your job to

anticipate project risks and to implement the necessary controls before risks become

insurmountable. Project managers typically classify risks as either threats or opportunities. The

practice of risk identification focuses on reducing the probability and impact of a threat while

increasing the probability and impact of an opportunity. During the risk identification phase, a

project manager must establish the various risk categories that are pertinent to the project before

selecting the appropriate tools and techniques to identify risks.When each risk item is categorized in

proper classification, have the probability of occurrence, severity and impact correctly identified and

then it is easy to come out with the risk score and likely impact of the risk on the project.

Project manager can gain consensus when analyzing risks by carrying out objective and

quantitative assessment of all risk items. When each risk item is categorized in proper

classification, have the probability of occurrence, severity and impact correctly identified and

then it is easy to come out with the risk score and likely impact of the risk on the project. This

way, the project manager can easily get consensus from the team members on the risk

analysis. Analyzing the risks involves assessing the likelihood of the risk occurring and the

impact on project's objectives. The likelihood and impact can be quantified as appropriate

based on risk criteria. There are tools and techniques for analyzing and prioritizing risks e.g.

risk mapping, workshops, surveys etc which can also help build consensus within the team.

Consensus is a procedure that every team member agrees with a final decision of a project,

this process involves evaluation, examining, and combining ideas by each member.

Consensus requires team work to achieve the best final solution, this practice also motivates

every team member to trust each other and to confront the consequences either are wrong or

correct. To achieve a project manager should obtain trust of the team by taking in

consideration all the ideas of the each member ‘ethics, politics, and values. This process also

needs the ability to tolerate, disagree, agree, and accept possible controversy, the success of

the project will depends on how well the project manager involves the whole team.

Another way for the PM to help ensure consensus is to involve the project team in the

analyzing and assessment of risk categories and threat levels to the project timeline and

resources. By keeping the team involved from the beginning the PM will gain their trust and

also help to spread ownership of the Project which helps bind the team together. By

continually assessing for risk and enacting mitigation techniques the PM and Project Team

will be much more successful in the completion of the project.

Involving the project team builds trust, which is required to have less dysfunction. Another

way to gain consensus is to share the results of risk analysis with all stakeholders to reassure

them that a risk assessment has been completed and their is a plan in place to manage

probable risk. Risks should be documented in a risk register, including risk details, impact,

and plan to address. This living document should be updated as the risk assessing continues.

It's critical that a project manager checks in with all stakeholders in regards to risk analysis.

The client, production team and all participating vendors should be included in the process so

all bases are covered. Once the project manager weighs all concerns, a consensus can be

made. I believe the project manager needs to identify and make a Risk matrix before starting

the project and go through each activity step by step. As murphy's law what can go wrong

will go wrong can't be avoided so a good project manager would have a contingency reserve

set aside for these instances. A project manager first needs to know his audience and then be

able to provide factual and data supported risk analysis in a way that his audience can

understand it. Properly using methods to gather possible points of risk and then proper

classification and measurement of how likely they are to happen can be done at a high level

to keep a group of people all on the same page, but it needs to be supported with the details as

further discussion comes about or risks occur and the group needs to react.

Once risks are documented, the project manager can use the Delphi Technique to gain

consensus on which risks have the highest impact on the project. The Delphi Technique is an

anonymous method to question experts about probable risks within a project. This approach

allows participants to speak freely on the risks without fear of repercussion or offending other

participants in the process and they aren’t deterred by the opinion of other stakeholders. The

feedback is then examined by a third party, organized, and then circulated to the experts. The

comments on the identified risks are distributed to all of the participants allowing them to

comment on the identified risks. Through rounds of discussion, consensus on the risks is

reached.

It is always necessary to gain concensus when analyzing risks? Why or why not?

Consensus helps the team members to act on the risk mitigation plan unanimously and

without any differences of opinion. It also means that team members are all aligned with the

project risks and objectives and can work together to minimize the risk or the impact of the

same.