12 Sure-Fire Ways to Improve Project Risk Management

Project Risk Coach

In a one-on-one meeting, I asked Mike how he was identifying, analyzing, and managing his risks. His response revealed his belief in risk management but a lack of actual application with his teams. Warren Buffett says, "Risk comes from not knowing what you are doing."

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What is Project Risk?

Project Risk Coach

If you say the word “risk” to ten people, each person may think of something different— insurance, threats, investments, bets, or potential loss. As we manage project teams, it's critical that you and your team members have a common understanding of what project risk means. Otherwise, people will be confused by your risk management efforts. It is no wonder that there is so much confusion about the meaning of risk. Next, agree on a definition for project risk.

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7 Ways to Identify Risks

Project Risk Coach

Successful project managers have a common trait – they identify and manage risks. Let’s look at seven tools and techniques to identify risks. They get the team together, identify lots of risks, and enter them into an Excel spreadsheet. However, the risks are never discussed again. What happens when project managers and their team fail to identify risks in an iterative fashion? Risks are not identified and turn into more costly issues.

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Change management helps when implementing risk responses

Kiron Bondale

A student in a project management class I taught shared the concern that it was very hard for her to get risk responses implemented. This is a fairly common problem and is likely one of the reasons that the volunteers who updated the PMBOK Guide, Sixth Edition added Implement Risk Responses as a new process within the Project Risk Management knowledge area. Risk management requires investment from stakeholders outside of the project team to really make a difference.

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How to Package and Price Embedded Analytics

for all your users, you risk upsetting customers who don’t care about and may never. unnecessary risk and results in incorrect (and sometimes dangerous) decisions. This exercise is not a one-shot deal. exercise in imitation. HOW TO PACKAGE & PRICE EMBEDDED ANALYTICS.

6 Tools and Techniques for Controlling Risks

Project Risk Coach

Changes in project risks are inevitable. As a project progresses, the probability and impact of current risks change, new risks emerge, and residual risks may increase or decrease. How can project managers optimize their risk responses and get the results they are looking for? Tom started his project with a risk identification exercise with several stakeholders resulting in a list of 77 risks. Risk Control Tools and Techniques.

6 Tools and Techniques for Controlling Risks

Project Risk Coach

Changes in project risks are inevitable. As a project progresses, the probability and impact of current risks change, new risks emerge, and residual risks may increase or decrease. What tools and techniques can project managers use for controlling risks and getting the results they are looking for? Tom started his project with a risk identification exercise with several stakeholders resulting in a list of 77 risks.

How to Conduct a Risk Audit and a Risk Review

Project Risk Coach

In this article, we will look at how to conduct a risk audit to evaluate the effectiveness of your risk management. Additionally, we'll also talk about how to be more forward thinking through risk reviews. Good Risk Management fosters vigilance in times of calm and instills discipline in times of crisis.” -Dr. How to Conduct a Risk Audit. Who Performs the Risk Audits? ” Review the effectiveness of the responses to risks. Try a risk review.

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10 Top Process Improvement Tools You Need to Create a More Sustainable Business


To generate a clear business case, organizations need to write business operations with sustainability in mind, which can be done by the following two steps: Document their business processes. Implement effective process improvement techniques for sustainability.

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What Project Managers Should Know About Monitoring Project Risks

Project Risk Coach

Many project managers do a great job of identifying risks. Some even evaluate risks and develop response plans. However, project managers get busy as their projects progress and fail to monitor their risks, resulting in challenged or failed projects. Here are some key factors that you should know about monitoring project risks. Do Project Managers Really Control Risks? I've heard countless debates about whether project manager can control risks.

Business Process Improvement: What it is and How to Implement it


According to surveys conducted, as of 2016, 66% of enterprises run a business process improvement program occasionally or never. Of the 20% that undertake process improvements , 5% record little to no success, 28% experience success limited to individual departments but do not record enterprise-level success, and 19% experience success after significant difficulties. What is Business Process Improvement? Generally, business processes can be divided into three key types.

Are You Tired of Missing Big Project Risks? 3 Ways to Stop It

Project Risk Coach

It was always interesting to watch—the best project managers were the ones who had a habit of identifying risks, both threats and opportunities. And these individuals did not perform the risk identification just once at the beginning of their projects. Rather, they had a habit of reevaluating their projects with an eye toward new risks. Wise project managers know that there are unknown risks lurking in every corner. Three Ways to Stop Missing Top Project Risks.

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How to Look Backward and Forward at Your Risks

Project Risk Coach

Project managers may fail to achieve their project objectives because they don’t know how to take a look backward and forward at their risks. Project managers can use risk audits to look backward and risk reviews to look forward. Risk is like fire: If controlled it will help you; if uncontrolled it will rise up and destroy you.” Theodore Roosevelt” How to Look Backward (Risk Audit). The risk evaluation process needed improvements.

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Risk Identification Workshops: An Overview

Project Health Check

Risk Management is one of the well established fundamentals of Project Management. Whatever system or tool you use, the basics of rating risks with some degree of severity and impact is well understood, and then doing something to stop it (because they usually are threats). But I have a challenge for you: look back over your last Project and consider - how many of the issues that occurred along the way were from impacted Risks that were identified on your Risk Log?

Project Risk Management: 10 Surprisingly Brilliant Tactics to Reduce Risk


Every project has some risk of failure. This guide on project risk management will help you understand and manage risks better. If there is one thing you can be certain about in project management, it's this: Every project carries some risk. As you might know, this process of "planning ahead" is called project risk management. In this guide, I'll share X critical tips for acing project risk management. Project risk is more amorphous.

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12 Wonderful Ways To Improve Your Risk Management

Project Risk Coach

How well did John use risk management to accomplish his goal? He and his team completed a project plan and identified project risks. He captured the risks in his risk register and periodically conducted risk reviews. He skipped capturing his risks and conducting the risk reviews. If you survey project managers on the importance of risk management, a high percentage will say that risk management is important. Improving Risk Management.

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The Complete Guide to Project Risk Assessment (Free Template)


Project risk assessment is an essential part of any project management plan. This guide shares 6 key steps in assessing project risk. So much of project success depends on spotting and eliminating these risks. How exactly do you figure out which risks to look out for and which to ignore? And once you’ve spotted these risks, how do you create plans to counter them? I’ll answer all these questions and more in this guide to project risk assessment.

Do NOT Resolve Project Risks for Good Career Growth


Having been a project manager for all of my working life and now a teacher of project management skills for more than a decade, I always tell my students to follow sound project management principles and to manage risks proactively. Proactive project risk management is integral part of project management. In fact, I think good risk management is half of project management. That said, in this article, I am going to preach against proactive risk management.

Signs that Your Project Management Process Needs an Update


Whatever the case, here are five signals from the universe that indicate your project management process is due for a refresh. Process vs Methodology. Let’s first clarify what is meant by the word ‘process’ and how it is not to be confused with the term ‘methodology’. A process is simply a set of well-defined steps one would take to complete a task. An example of a process would be the steps you take to process payments from your clients.

The Ultimate Guide To the Phase Gate Process


Project managers have a number of processes and techniques they can use to ensure continued project viability and success. One such technique is called the phase gate process. . The phase gate process is a technique that is used to guide a project from conception to launch.

How to Conduct a Risk Assessment for Your Project


One of the biggest challenges of project management is dealing with risks and opportunities. The difference between success and failure can come down to proper management of your risks and opportunities. First, it’s important to understand the difference between an issue and a risk. A risk is something that might happen, while an issue is something that has happened. A key tool to help you manage risk is a Failure Mode Effects Analysis (FMEA).

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No more initial estimates? NOOOOOOOOOOO!

Kiron Bondale

Becoming frustrated with increasing levels of estimate obesity, sponsors and project managers exercise Theory X practices such as eliminating contingency reserves or cutting estimates. Tagged: communications , improving project management , Process compliance stupidity , Project scheduling , Risk management , Stakeholder analysis , Valuable projects. It’s unfortunately an all too familiar scenario.

Risk-aware Product Development (a.k.a. Scrum)


This post is dedicated to you guys out there trying to make sense of the confusion surrounding predictability and Scrum/Agile (Or as I often refer to it these days Risk-aware Product Development), whether you consider yourself one of the people quoted above or one of the people working for them trying to bridge the desire to work in an agile nirvana-like flow and dealing with those pesky executives stakeholders and customers bent on interrupting that flow. The Risk Burndown Exercise.

Is Your Strategic Project at Risk Due to Poor Implementation of Proven Project Management Practices?

Strategy Execution | PMO Perspectives

The Project Management Institute also reports that in the projects that were deemed failures, the following causes were contributing factors: change in project objectives (37%), inaccurate requirements gathering (35%), inadequate vision or goal for project (29%), failure to identify opportunities and risks (29%), inaccurate cost estimates (28%), and poor change management (28%) amongst others. The practices we implement need to add value rather than being a ticking boxing exercise.

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How To Write Clear Project Goals

Project Risk Coach

Occasionally, someone will ask me for risk management tips. Yes, g ood risk management always starts with clear goals. In risk management, we ask ourselves—what may help or hinder our ability to achieve our goals. Personal Goal Examples To maintain my exercise of 3 times per week for 45 minutes through the end of the year. Writing goals is an iterative process. The post How To Write Clear Project Goals appeared first on Project Risk Coach.

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Have you rotated your project’s tires?

Kiron Bondale

This exercise also presents a good opportunity to catch up on any other outstanding preventative maintenance for our vehicles. Is there any waste that’s been introduced in our product or project processes which could be eliminated? Risks revisited? If its been a few weeks since the contents of the risk register have been reviewed chances are some new risks could be identified and the assessment of older ones might need to be refreshed.

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New PM, New Choices

Leading Answers

Yet when projects use new (to us) technology and tackle problems our organizations have not solved before, then risk, uncertainty, and rates of change will be high. Traditional approaches have plenty of tools for handling risks, uncertainty, and change; but modern, adaptive approaches were purpose-built for these types of projects and have proven to be effective in these circumstances. Designing something is typically a consensus-gathering and problem-solving exercise.

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Project Crisis… Are you Ready?

Online PM Courses

systems and processes. Solid processes that limit the scope for human error. Processes that Create Good Situational Awareness. As a project manager, your responsibilities include creating processes that help you to. Leading Indicators of Project Risk. Here is a table I compiled for my book Risk Happens! Leading Indicators of Project Risk. Schedule Risk - Minor milestones being missed. Budget Risk - Rate-of-spend variances against budget.

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How to Create a Work Breakdown Structure

Project Risk Coach

One of the most powerful tools for this exercise is the work breakdown structure (WBS) which is a hierarchical decomposition of the scope of work. The post How to Create a Work Breakdown Structure appeared first on Project Risk Coach.

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You Can Unlock the Power of Integration Management

Project Risk Coach

Operational managers assimilate people, processes, technologies, and external resources, which are interdependent, one with another. The best project managers know how to blend their knowledge in different areas such as scope management, cost management, and risk management. Imagine a project manager, Jane, leading a work breakdown structure exercise (WBS) with her project team resulting in work packages or activities. Performed in this Process Group.

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How To Manage Constantly Changing Requirements

Girl's Guide to PM

Work on what you can manage, and put a process in place for adapting to future changes. This exercise will give you a baseline for the project’s requirements. Any changes after this need to be assessed and taken through the change control process. Project risks.

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A Balanced View of the Competing Demands through the Lens of Evaluation

The IIL Blog

In project management, keeping a balanced view of the competing demands (cost, time, scope, quality, risk and resources), requires evaluation to be at the center of the model. Risk = Uncertainties that can be positive or negative. RESOURCES , it is expected that the RISK will be reduced. Keeping evaluation at the center while considering the ongoing nature of the Monitoring and Controlling Process Group keeps evaluation at the forefront. By Dr. Willis H.

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Ask a PM: How to Get Proper Estimates


You might not need to document this granularity on your work breakdown structure, but your team could go through the exercise to split out tasks into their component parts. Gone through the release process—you can estimate that part. Where you can’t remove the uncertainty, add this as a risk to your project risk register. You can also build trust by implementing proper change management and risk management processes.

How to Engage Participants in a Project Management Workshop

Project Risk Coach

Imagine that you are planning a project risk management workshop. Conduct an online survey with the participants to find out their greatest risk management challenges and interests. Periodically break up the participants for group exercises and activities such as an affinity diagram. Changing the teams for each exercise provides good networking opportunities. Ask for volunteers for an exercise. Provide handouts/exercises to take home.

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How to Engage Participants in a Project Management Workshop

Project Risk Coach

Imagine that you are planning a project risk management workshop. Conduct an online survey with the participants to find out their greatest risk management challenges and interests. Periodically break up the participants for group exercises and activities such as an affinity diagram. Changing the teams for each exercise provides good networking opportunities. Ask for volunteers for an exercise. Provide handouts/exercises to take home.

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What You Need for a Great Project Charter

Project Risk Coach

Think about it—in the project charter process, project sponsors and managers have the opportunity to engage key stakeholders for the express purpose of defining the vision of a project. Not everyone, mind you, but we do want the key stakeholders involved in the project charter process. When sponsors choose to ignore stakeholders or purposely keep them out of the charter process, risk increases. This is not a documentation exercise!

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How to Create a Project Affinity Map

Project Risk Coach

The team discovers that the reasons fall into the following groups: processes, people, product, and technology. Identify and sort: Project risks. Causes of risks. Responses to risks. Let's walk through the process. When you complete the exercise, the team should have a deeper and more comprehensive understanding of the issues. The post How to Create a Project Affinity Map appeared first on Project Risk Coach.

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10 Knowledge Areas of Project Management (PMBOK 6) With PPT & PDF

Girl's Guide to PM

PMI defines a Knowledge Area in the PMBOK® Guide – Sixth Edition Glossary like this: An identified area of project management defined by its knowledge requirements and described in terms of its component processes, practices, inputs, outputs, tools, and techniques. Basically, each Knowledge Area (which you might see abbreviated to KA) is a category of concepts and processes with a common goal. We'll process your data in accordance with our privacy policy.

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How To Manage Fixed Date Projects

Project Risk Coach

Explain the process you went through, who was involved, the constraints, and the results. Include a problem statement, goals, deliverables, assumptions, constraints, exclusions, high-level risks, stakeholders, and team members. One of the best ways to engage your team members and define the scope is through the facilitation of a WBS exercise. Complete the initial risk identification and assessment. The contingency reserve is based on known residual risks.

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10 Things New Project Managers Should Know

Girl's Guide to PM

Risk log. From baselines to Gantt charts, work breakdown structures to risk sensitivity analysis, there are so many new terms to get to grips with. Whether that’s through ongoing Agile retrospectives or by talking about continuous process improvement as you go, keep thinking about what you could do better. Then you can tweak what you are doing to improve the project and the processes. Manage Risk. Managing Risk and Avoiding Failure in Business Projects.

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