Identifying and managing project risks are critical tasks for project managers. From a project management perspective, risks must be managed from the start of a project until its completion; therefore, a Risk Breakdown Structure (RBS) is an important tool that project managers use to successfully complete projects. Assume that you are a project manager who is to manage a project to set up a training facility in China to teach project management classes. This project is to be completed within a two- month period, starting from today.
- Identify the risks in the form of “cause-risk-effect,” as described below:
One of the most common risk-identification mistakes is considering things to be risks when they are not. One approach is to treat anything with a probability of greater than 80 percent as a certainty. “Lack of resources” is not a risk, nor is “not enough time to complete the project.” If it is known that the length of time required to complete a project is shorter than the time allocated, then this is not a risk—it’s a fact. Such facts should be addressed in the project management plan through crashing, fast tracking, re-estimating, removing scope, using other forms of schedule compression, and bringing the situation to management, but not as part of risk management.
“To differentiate risks from facts and to adequately define risks, use the ‘cause-risk- effect’ format for naming risks: As a result of (definitive cause), (uncertain event) may occur, which would/could/may lead to (effect). Such definition of risks provides enough information for the team to follow the rest of the project management process. See the following examples of risks in the cause-risk-effect format:
As a result of lack of clear direction for the scope of work for the XYZ component, there could be rework and wasted efforts, which could delay the project completion from two to four weeks.
As a result of the amount of work the customer is trying to accomplish on many projects during this project’s completion, a delay in the response to our requests for approvals may occur, which could result in a two-week delay in project completion. Effects could relate to project objectives, project constraints, and risk tolerances.” (Mulcahy, 2003, p. 90)
- Discuss and analyze the importance of each of the four types of risk identified in Figure 11-4 (technical, management, commercial, and external).
- Create a risk breakdown structure and attach as an appendix (see attached sample and use the blank RBS linked under this assignment in Module 2).
- Discuss the importance of creating an RBS.
With regards to the selection process, Llorens and Kellough (2007) asserted that the ability of the organization to employ highly-qualified and effective workforces depend, in large part, on the manner in which selection is performed. Therefore, the selection process plays an important role in ensuring that the organization hires only the best talents in the market. Generally, the primary goal of the selection process is sift and eventually determine the best candidate from a pool of qualified applicants. In relation, Robertson and Smith (2001) noted that in choosing the selection tools and approaches, it is important to pay attention to the ability of selection tools to predict future job performance. Among the commonly used selection tools are the structured interview, employment background checking, and the psychological tests. The structured interview in particular, are conducted to systematically screen candidates based on a set of pre-determined criteria or attributes (Hallwood 2009). Background checking on the other hand, is conducted to eliminate undesirable candidates (Randall and Randall 2001). Furthermore, Randall and Randall (2001) claimed that employment background checking is a simple and inexpensive in nature. Meanwhile, psychological tests are also conducted to objectively assess the skills, abilities, behavior, aptitude, and attitude of the candidates (Randall & Randall 2001). Through these selection tools, the organization could structurally determine which among the applicants qualify for the position, in a manner that would limit the chance of hiring inappropriate candidates. For the employees on the other hand, selection techniques, such as structured interviews, employment background checking, and psychological tests, provide equal chance of getting selected for the position. With the formal selection techniques and approaches, all applicants for the job get equal opportunity in getting hired, as all candidates will be required to undergo the process. Generally, potential employees see the selection process as a systematic and objective way of selecting the best candidates as bias and prejudice are prevented. In the absence of a formal selection process, privilege groups will be given the freedom to posit>GET ANSWER