week 8 risk management

Risk Management

REQUIRED ACTIONS:

Pick one question to answer from each of the three areas below. Post an original thread in this forum. Put your name in the subject line (e.g. “Bill Smith”) – 500 words or less.

Post at least one reply to a colleague’s post – 200 words or less.

Risk in the Project Environment

When looking at risks in the project environment, why are we concerned with the impact and probability of a potential risk event?
How could you sort through a long list of risks in a project so that focus is placed on the most important one(s)?
When is the best time to assess potential risks in a project AND at what frequency?
When is risk generally highest in a project – why?
Why is it important to identify and diligently watch for risk “triggers” in the project environment? Please define a risk “trigger” first when answering this question.

Risk Information

Explain what a “risk register” is, what it is used for, and what it contains (i.e. components for the risk register). Please describe each of the components.
What are some sources of information on risks that you would list in a risk register (i.e. where would you find information on risks)?
Explain at least two techniques for gathering risk information from various sources. Support your response with one reference in addition to those provided in your required/optional readings, learning modules, and text books.
Why is it important to document risks and risk information gathered from various sources?
Often you will document risk “symptoms” and risk “triggers” in a risk register. Explain how the difference in these two concepts and how they are related.

Procurement

Why are contracts necessary when conducting procurements and what do they represent? Discuss the major types of procurement contracts. Is there any situation where you would not use a contract for procuring goods or services – please explain why or why not? Is a verbal agreement or a handshake considered a valid contract? Please include a minimum of one resource in addition to your required or optional reading/viewing resources.
Research an example of a bad procurement or poor procurement management in any organization (including from your experience). Describe the situation and explain why you believe this as an example of a bad procurement or poor procurement management. Be specific and remember, others are not familiar with the situation and need to understand the backstory. What made the procurement management ineffective and/or what were the factors that led to the poor outcome? Please include a minimum of one resource in addition to your required or optional reading/viewing resources.
Describe the different types of Fixed-price contracts and why you would use one over another. Who bears the most risk in this contract type – the ‘buyer’ or the ‘seller?’ Provide an example from your experience, from your research, or create a scenario to illustrate. Please include a minimum of two resources in addition to your required or optional reading/viewing resources.
Describe the different Cost-reimbursable contracts and why you would use one over another. Who bears the most risk in this contract type – the ‘buyer’ or the ‘seller?’ Provide an example from your experience, from your research, or create a scenario to illustrate. Please include a minimum of two resources in addition to your required or optional reading/viewing resources
Describe Time and Material contracts – please discuss any variations of these. When would you use this type of contract? Who bears the most risk in this contract type – the ‘buyer’ or the ‘seller?’ Provide an example from your experience, from your research, or create a scenario to illustrate. Please include a minimum of two resources in addition to your required or optional reading/viewing resources.