Project risk management is one of the most lethal but easily overlooked aspects of the project management process. Risks and issues are an inevitable part of a project. However, if ignored, risks will derail your plans and cause you to divert your attention from project activities. In this article at Project Risk Coach, the author explains how to compress project schedules and manage the associated risks.
How to Manage Risks?
As a project leader, you provide the schedule duration of eight months to your client. However, the client may demand you to complete the project within six months. How to manage risks under such circumstances?
Create a Work Breakdown Structure
As a project manager, you must break down the project into pieces. “Decompose the project into deliverables, verifiable work products (e.g., building, software, reports),” explains the author. You must consider:
- The budget constraints
- The deliverables created to achieve the project objectives
- The timeline for project completion
- The efficient order of the activities
- The external resources, vendors, stakeholders, and organizations
Compress the Project Schedule
- When you provide estimates for project completion, you add time to account for risks. If you reduce or eliminate risks, you can reduce the time required for project completion.
- Hire skilled professionals as their knowledge is critical for project success. This action will increase project costs.
- Discuss the priority of the deliverables with stakeholders. Determine if you can reduce the project scope.
- Find ways to reduce the backlogs in the critical project path.
- Double-check all the outsourcing arrangements.
Note that risk management isn’t something that you do once. It’s an ongoing process you must keep up throughout your project. Additionally, don’t assume that risk will fix itself. Be proactive in managing it. To read the original article, click on https://www.projectsmart.co.uk/10-golden-rules-of-project-risk-management.php.