MGMT435 Unit 1 Assignment Risk Assessment Chart

MGMT435 Unit 1 Assignment Risk Assessment Chart Analysis

Your task involves understanding risk assessment within project planning, emphasizing its importance through a scenario involving a market mailing project. You are required to evaluate specific risk factors by rating their potential impact and probability of occurrence, then justify these ratings. A conclusion summarizes your assessment, highlighting main points, and references support your analysis.

Paper For Above instruction

Risk assessment plays a crucial role in project management as it enables teams to identify, analyze, and respond to potential risks that could affect project success. Proper risk assessment helps in minimizing surprises, controlling costs, and ensuring timely project delivery, especially when project parameters like scope, budget, and deadline are tightly constrained. In this context, understanding the dynamics of risk—specifically the potential impact and likelihood of occurrence—furnishes project managers with a strategic advantage to mitigate adverse effects effectively.

In the scenario of the Market Mailing project, the primary considerations involve budget overruns and schedule delays. The client’s stipulation that the project must be completed on time to coincide with a new product launch, coupled with a strict no-reserve budget, heightens the importance of precise risk assessment. The project manager, therefore, must evaluate risks that can threaten the project’s scope, cost, and timeline, such as overrunning the budget on specific tasks or missing deadlines.

Risk assessment in project planning encompasses identifying potential problems and evaluating their possible effects. This involves assigning ratings such as high, medium, or low to both potential impact and probability of occurrence. The combined assessment forms an overall risk rating, guiding project managers in prioritizing mitigation strategies. For example, if a task is likely to overrun its budget and might significantly delay project completion, it warrants a high overall risk rating, prompting immediate attention and contingency planning.

Applying these principles to the given scenario, we examine four risk items: the potential for Task A to surpass the $1,200 budget, missing the June 15 completion deadline for Task A, Task B going over its $1,200 budget, and missing the May 30 schedule for Task B. Each risk involves analyzing uncertain factors—cost overruns and scheduling delays—and scoring them based on impact and likelihood.

For Task A exceeding its budget, the potential impact is high given the limited budget and the significance of financial control. The probability may be medium if past performance indicates consistent budget adherence but still bears potential risk due to scope or scope creep. The overall risk score considers these ratings, prompting proactive budget management strategies.

Similarly, if Task A faces delays past June 15, the impact is high due to its criticality in the project timeline, with a medium probability if project activities are currently on track but sensitive to unforeseen issues. The same logic applies to Task B’s budget and schedule risks, where impact may be high, especially given the project’s strict deadline and fixed budget constraints, and probability might be medium to high depending on current risk indicators.

This systematic evaluation underscores that risks with high impact and high probability, such as potential delays and budget overruns in critical tasks, warrant immediate focus. The project manager’s role is to develop mitigation strategies—such as contingency budgets, buffer schedules, and regular progress assessments—to de-risk these elements effectively.

In conclusion, risk assessment is integral to successful project management, providing a structured approach to anticipate and mitigate threats to project objectives. The scenario demonstrates that assessing risks related to budget and schedule must be carefully balanced with the potential severity and likelihood of each risk event. Overall, a thorough risk assessment informs better decision-making, ensuring that project goals remain achievable under constraints and uncertainties.

References

• Jayaraman, R. (2016). Project cost control: A new method to plan and control costs in large projects. Business Process Management Journal, 22(6), 1247–1268.
• Hillson, D. (2017). Effective Opportunity Management for Projects: Exploiting Positive Risks. Routledge.
• Meredith, J. R., & Mantel, S. J. (2014). Project Management: A Managerial Approach. Wiley.
• PMI. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – Sixth Edition. Project Management Institute.
• Larson, E. W., & Gray, C. F. (2017). Project Management: The Managerial Process. McGraw-Hill Education.
• Chapman, C., & Ward, S. (2011). Transforming Project Risk Management into an Organizational Capability. International Journal of Project Management.
• Chapman, C., & Ward, S. (2003). Project risk management: processes, techniques, and insights. Wiley.
• ISO 31000:2018. (2018). Risk Management — Guidelines. International Organization for Standardization.
• Heldman, K. (2018). Project Management JumpStart. John Wiley & Sons.
• Zwikael, O., & Smyrk, J. (2011). Managing Risk in Projects. Springer.