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Risk Management: Integral Part Of Project Management

2584 words - 11 pages

PROJECT MANAGEMENT PLAN

Project Management Plan Paper
Risk management is an integral part of project management. In the current economic scenario, companies have had to deal with numerous uncertainties dealing with unemployment, credit crunch, deflation, devaluation of assets, and political uncertainty. As a result, many of the projects within these companies inherit these uncertainties. A successful project manager should identify these uncertainties or otherwise “risks” and prepare an action plan for readiness to mitigate such risks. Companies like P&G have mastered the art of managing uncertainty through strategies like Environmental Risk Assessment (ERA). “Conducting ...view middle of the document...

However, from the scenario; during the planning of the project, database specialists are assigned on a part-time basis working 20 hours a week. As per the schedule of the specialists, they are to work on development of an information interchange for ABI and FAFS. This strategy on focusing specialist resources on two priority projects will lose the focus of the specialists and perhaps increase the period across both projects. The preferred approach would be to create a project priority committee consisting of members from both FAFS and ABI. This committee should consider the priorities of these two projects and allocate resources accordingly.
The second event is the change in management priorities that takes place and the information interchange projects secures a higher-priority from FAFS management. The first issue is that change in management priority was never a risk item in the scenario. However, a brief look at the historical data provides evidence to the contrary. The risk item of change in management preferences is a high point of 0.8 in terms of impact and 0.60 as probability. This risk needs consideration by the project management of Integra with an accurate response. In the event of the occurrence, the project manager should be in a position to refer the issue to the priority management board suggested earlier for approval and acceptance of the action plan to manage the risk. It may very well be that the committee may consider the suggestion of the project manager to do the project in-house, but reduction of the risk because of ad-hoc nature of the project prioritization can take place. The probability that the priority committee may refer the change back to the FAFS management and seek clarifications on the need for re-prioritization is high. This may end up in a high-level review meeting that can take data driven decisions on the future of the projects. The point of my suggestion is need for the project management to be part of this decision evaluation process rather than mere execution. Because of this involvement, the engagement of the project manager will increase to achieve the objectives of FAFS management.

Project Schedule
The schedule for project Integra can follow the below phases,
1. Design Phase
This phase consists of the network, database, and application programmers constructing the design of the end solution. The team provides due considerations to performance, compliance to FAFS protocols, downtimes, maintenance, and support of Integra. Application teams, networking specialists, and database specialists can start working in parallel and base schedule for a finish-to-finish relationship. Milestones can be signoff on the design documents for network, application, and database from project review committee and FAFS concurrence. The other significant milestone will be order placement of equipment and third party software.
2. Prototyping Phase
Delivery of a proof of concept prototype with wireframes can be part of...

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