PROJECT RISK MANAGEMENT

Canadian Institute for Knowledge Development (CIKD)

Risk is considered as an inseparable part of any project and since all the effective factors in projects are not predictable, risk management is inevitable. One of the biggest administrative problems with internal projects is the managers’ neglect of the importance of risk management which leads to delay in projects delivery and increase of the cost of the projects. Since not all risks are regarded as threats but also as opportunities, risk management is considered as a balance factor between the loss of threats and the profit earned through opportunities. It has focused on some strategies for successful implementation of risk management in projects as well. In the risk management, the most logical way of planning is managing risk before taking risk. This study investigated risk and risk management, its aims, components, and different stages of risk to reach the expected aims and outcomes of the study.

International journal of project management, 2001

This paper makes a case for a shift to strategy-based project management, a component of which is real time management of risks, uncertainties and opportunities using a life cycle project management approach. Risk analysis and management should not be viewed as a separate planning and response operation. Risk and opportunity management is a way of thinking and a philosophy that should permeate the entire spectrum of project activities. Shifting to business objectives and focusing on the whole of life risks/ rewards are of paramount importance. Evaluation of risks must be based not only on delivering projects on time and within budget but also on crafting, developing and operating a long term business entity which can deliver the business objectives of the parties concerned while meeting or exceeding community expectations. #

2009

Advances in business information systems and analytics book series, 2018

As projects are associated with risks due to the presence of uncertainties and unknowns, risk management assumes importance in project success. This chapter is an attempt to examine various risk mitigation strategies that are commonly employed if different industrial sectors. The chosen risk strategy would also largely depend either on individual's or organization's propensity to take risks. The authors summarize the findings of a research study in this chapter. The research results show that effort and details of a risk management for a project are governed by risks associated with cost and time and not necessarily with the project scope. Also, many organizations prefer a contingency budget to the project plan to developing a detailed risk management plan.

Civil and environmental research, 2016

A successful risk management process enhances the construction project to recognize and measure risks and to believe risk repression and risk reduction rule. This study identifies the Risk management and its role in reducing the project risks. The sample of the study was 50 managers of construction projects in Jordan. The researcher used descriptive method and develop questionnaire to collect data. The results of the study showed that there is a statistically significant effect of the impact of risk management to reduce the risk of the project, there is a statistically significant effect of the impact of risk management to reduce the risk of the project related on time, there is a statistically significant effect of the impact of risk management to reduce the risk of the project related on cost, and there is a statistically significant the impact of risk management to reduce the risk of the project related on quality. This study recommended the Establishment of training courses on ...

Communications - Scientific letters of the University of Zilina, 2011

The term risk is often elusive, because its interpretation is commonly based on the specific aspect and goal of its utilization. Therefore, there are many definitions and approaches to cover this term. However, the situations in which we perceive risk have certain common elements. The first one is that we do not know what will happen. The second one is that specific interests are exposed to consequences in such situations [1]. Thus, there are essentially two components needed for risk to exist – an uncertain event and its adverse consequences (see Fig. 1). Risk can be defined as an uncertain event that, should it occur, will have an effect on the achievement of objectives. A risk is measured by a combination of the probability of a perceived threat and the magnitude of its consequences on objectives [11].

International journal of risk and contingency management, 2013

Risk is an inseparable event or occurrence to any project and it is a consequence of uncertainties and unknowns associated with the project and its execution. Past research studies generally focused on types of risks and risk management processes. This research effort, using a survey questionnaire, is an attempt to understand types of specific risk mitigation approaches that are commonly employed and their dependency with the type of an organization. This research effort also addressed relation between risk mitigation strategy of an organization and individual project manager's propensity to risk. Research results show that project risk management plan and it development is likely to be influenced by cost and time aspects of a project but not on the project scope. Further, results revealed that many organizations depend on contingency budget rather than a formalized risk management plan.

Risk Analysis, 2010

This article examines the effectiveness of current risk management practices to reduce project risk using a multinational, multi-industry study across different scenarios and cultures. A survey was administered to 701 project managers, and their supervisors, in seven industries and three diverse countries (New Zealand, Israel, and Japan), in multiple languages during the 2002–2007 period. Results of this study show that project context—industry and country where a project is executed—significantly impacts perceived levels of project risk, and the intensity of risk management processes. Our findings also suggest that risk management moderates the relationship between risk level and project success. Specifically, we found that even moderate levels of risk management planning are sufficient to reduce the negative effect risk levels have on project success.

International Journal of Managing Projects in Business, 2009

Purpose -The purpose of this paper is to present a review of recent risk management literature applied to projects, programs and project portfolios performed inside an organization with the aim of finding areas of opportunity to continue research and the development of current guides and methodologies. Design/methodology/approach -The paper uses a review of recent literature published by international organizations and journals specializing in the field of project, programs, and portfolios. Findings -The review shows that project risk management is a well developed domain in comparison to the program risk management and portfolio risk management fields, for which specifically written methodologies are difficult to find. The review also demonstrates the need to include better tools to perform a continuous control and monitoring process. Integrating a vulnerability approach is also necessary in order to consider the project, program or portfolio characteristics which mediate between consequences and the exposure to hazards and opportunities.