How much Risk to do – Workshop output.
Group 1:
Question 1. Is Project budget the only measure of assessing the scale of Risk
Management to apply.
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No – Level of risk needs to be considered
Budget should be anallysed (although may be forced upon you
Time may be a bigger problem
Reputation is key & Stakeholders
Strategic importance should be assessed
Health and safety issues
Location (geography, politics & team location)
Complexity (number of stakeholders)
Experience of area/lessons learned
Risk appetite
Question 2. Why would you recommend a level of Risk Management to be
implemented.
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To meet budget constraints
Level to be set by possible return
Determines risk strategy
Create a collaborative environment
Ensure consistency
To meet legislation
To match level of project knowledge
Lessons Learned – appropriate level
Question 3. What are the benefits and disadvantages.
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The level is set inappropriately – D
Could miss risk by implementing too high a level – D
Miss some stakeholders – D
Instils discipline - B
Risk budget may become surplus– B
Focus’ attention on the riskiest areas - B
Drive the right level of collaboration – B
People like guidelines - B
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Group 2:
Question 1. Is Project budget the only measure of assessing the scale of Risk
Management to apply.
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Experience/inexperience/novelty
Timescales
Complexity more complex more risk
Quality
Environment
Degree of integration
Quantity of stakeholders
Geographical spread
Historical data/lessons learned
Risk impact consequence
Accessibility/operational requirements
International dimension
Political dimension/expediency
Culture
Specialist resource dep
Question 2. Why would you recommend a level of Risk Management to be
implemented.
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Value for Money
Contractual requirement
To gain confidence in schedule/budget
Reflect risk appetite of client/stakeholders
As a measure control of funding/timescales
Commercial benefit
Avoid loss of life/safety risk
Avoid reputational risk
Appropriate allocation of resources
Communicating risk information
Implement level appropriate to phase of project
Question 3. What are the benefits and disadvantages.
Benefit:
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Forward looking Team
Cost saving
Better communication
Builds confidence
Better informed schedule
Clear ownership of risks
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Disadvantage:
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Cost of risk management
Takes time to do
Can create false sense of security
Can be a political process
Can create disharmony if not used properly
Can be abused by people with own agendas
Could lead to unknowns being ignored
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Group 3:
Question 1. Is Project budget the only measure of assessing the scale of Risk
Management to apply.
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No
Politics? – Reputation
I might lose my job
Complexity
% Margin
Novelty
Appetite
Quality of organisation
Question 2. Why would you recommend a level of Risk Management to be
implemented.
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Demonstrates benefit, more benefit than cost
Experience
No rigid ‘score’ system
What can the client afford
What data is available
Public perception
To drive other behaviours
To prevent imposition of other processes
Question 3. What are the benefits and disadvantages.
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Meet targets (B)
Hard to justify based on real results (D)
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