Risk Management

There are no risk-free projects. All projects experience some degree of uncertainty, and some uncertainties can create risks that deflect the endeavour towards the project objectives.

Reactive risk management will move the project into a permanent crisis management mode in order to repair what could have been easily prevented or mitigated.

Uncertainty, as it relates to project performance, safety, cost, quality, and schedule, comes from a lack of knowledge about the future. Hence, the uncertainties are based on subjective assessment, which can differ between observers. Project managers must therefore make decisions based on historic databases coupled with project individuals’ personal experience and knowledge.

We can provide risk management expertise with bringing in an experienced multidisciplinary team to facilitate a risk workshop and contribute to risk identification / classification and overall risk management throughout all phases of the project. We do not concentrate only on management of ‘negative’ risks but we take all chances to maximize the realization of potential opportunities.

At an early stage of the project, a risk register will enable us to facilitate other specialized workshops that will provide confidence in meeting the project objectives, establish scenarios for accelerating your project, reducing the costs or determining appropriate contingencies to avoid cost overruns.

As an example, a Schedule Risk Analysis (SRA) workshop supported by Monte Carlo simulation will provide risk-based schedule confidence forecasts, worst and best-case scenarios, and thereby answers to the questions: Which risks contribute to the problems in meeting key milestone dates? How likely is the project to finish on time? How much schedule contingency do we need to be sufficiently confident of success? Which risks need prompt mitigation to avoid late completion of an event?

Some studies in a variety of industries suggest that risk management is only applied to projects perceived to be high risk by the owner. IPMS truly embeds risk management practices into every day project operations and actively promotes a risk-management-friendly project culture.