DAY #6 — Project Risk Management & Project Procurement Management

Project Risk Management

  • Plan Risk Management.
  • Identify Risks.
  • Risks Analysis (Qualitative).
  • Risk Analysis (Quantitative).
  • Plan Risk Response.
  • Monitor and Control Risks.

Plan Risk Management

Dream and worry.

  • Risk Tolerance (Risk Seeking, Fearing…).
  • Risk Management.

Identify Risks

  • Dream and worry.
  • Brain Storm.
  • Interviews (stakeholders).
  • Dephi Technique (asking expert about expected risks).
  • Root Cause Analysis.
  • Ongoing Progress (as we proceed in the project > more info > more concerns).

Perform Qualitative Risk Analysis

  • Probability and Impact Analysis (Low, Medium, High).
  • Risk Categorization (Important, I care about, Ignore).
  • Risk Urgency Assessment.
  • Risk Prioritization.

Perform Quantitative Risk Analysis

Numerical Value.

  • Probability Distribution.
  • Sensibility Analysis.
  • Expected Monitory Analysis.
  • Modeling and Simulation.

Plan Risk Response

  • Avoid: change in our project as the risk is real, to eliminate the risk.
  • Transfer: we find someone do that risky part for us, also change in our project.
  • Mitigate: take some actions to face the risk, but notice the risk is still there.
  • Accept: we did what we can, but bad things will happen anyway.

Monitor and Control

  • On going Review of Pending Risks (daily, weekly).
  • Enacting Risk Plan (start to spend contingency whether its money or time to deal with the risk).

Project Procurement Management

  • Plan Procurement.
  • Conduct Procurement.
  • Administer Procurement.
  • Close Procurement.

Planning Procurement

  • Make vs buy.
  • What; we will buy?
  • When: we will buy.
  • How.
  • Risks vs Control.

Conduct Procurement

  • Procurement Docs (detailed, dependable).
  • Bidder Conference.
  • Evaluation Process.

Administer Procurement

  • Enhance Project.
  • Approval and Payment.

Close Procurement

  • Approval Deliverables.
  • Approve Payment.
  • Warranty / Support.
  • Lessons Learned.