Active project risk management is a concept that has been growing momentum as of late. Project managers are expected to know the risks inherent in their projects and give them the appropriate level of scrutiny. Projects are a bit like paddling a boat in shark infested waters—thrilling when it works, terrifying when it doesn’t. Risks are the gusts of wind threatening … [Read more...]
Projects are magnets for surprises—think missed deadlines, budget slips, or that vendor who ghosts you midstream. A Risk Management Plan is the part of the Project Management Plan that plans, identifies, and analyzes project risks. It provides the project management team with a defined plan to identify and manage the risks that can arise and negatively affect the goals … [Read more...]
Taking risks is the secret sauce that turns a sleepy little business into a roaring, fire-breathing success story. There are virtually no exceptions to this rule: Without risk, there is no reward. Even though it may feel like you are David walking down the hill to face Goliath without any armor, there are time-tested principles which help stack the odds in your … [Read more...]
One of the most confusing aspects of Project Management is the concept of Contingencies and Management Reserves. When are they used? What are they used for? And how are they applied? In this article I will lift the veil. Contingencies Contingencies are amounts placed in the project estimate to account for "known unknowns." That is, the existence of the cost is … [Read more...]
Mastering Three Point Estimating is a game-changer for acing the Project Management Professional (PMP) exam and managing real-world projects with confidence. This powerful technique tackles uncertainty by blending three key estimates—optimistic, most likely, and pessimistic—to deliver a balanced, data-driven forecast for task durations or costs. By accounting for risks … [Read more...]
Every project, no matter how well-planned, faces uncertainties that can derail progress or inflate costs. These risks, whether scope creep, resource shortages, or unforeseen events, can catch even seasoned project managers off guard. That’s where a project risk checklist becomes your secret weapon. By systematically identifying, assessing, and preparing for potential … [Read more...]
The largest projects in the world, from the summer olympics to big petrochemical projects, have one major thing in common at the project management level: A relentless focus on risk. What happens if there is a riot? Or a catastrophic explosion? What if protestors disrupt the project, or regulatory agencies reject it? These megaprojects dedicate significant resources to … [Read more...]
Project risk management is what separates good project managers from great ones. It’s not enough to spot potential pitfalls—you need a battle-tested plan to dodge them or fight back when they hit. Even when everything has been planned and executed to perfection, an unexpected event can cause considerable duress on the project stakeholders and even cause the project to … [Read more...]
Every project is a gamble. Will it soar to success or stumble into disaster? The difference lies in spotting the landmines before you step on them. Project risks aren’t just possibilities; they’re the hidden threats that can derail deadlines, blow budgets, or sink morale if left unchecked. The good news is you don’t need a crystal ball to see them coming. The bad … [Read more...]
Risk is defined as an uncertain event or condition that, if it occurs, has a positive or negative effect on a project's objectives. Simply put, it is the possibility of losing something of value. Projects have objectives, that is, a product or service that it needs to be produced, or a stakeholder it needs to satisfy. Risks events are those events that could … [Read more...]
