A list of prioritized project risks sheds light on where resources and time should be focused in terms of monitoring the most likely and most costly threats. The next step in process is to determine how to either prevent them from occurring or managing them in the most efficient manner possible should they materialize.
Managing prioritized project risks can include any of the following options, either on their own or in combination with other listed options. They are:
- Having a detailed response plan in place prior to an event occurrence – This actually isn’t an option at all and should be mandatory aspect of all project plans. An advanced risk assessment takes the guesswork out of responses which would have to be formulated on the fly if pre-planned actions have not been defined.
- Having a thorough knowledge of available assets – Knowing what assets are available and where they are currently located can assist delivering a response as quickly as possible.
- Determining which people on the project team are best suited to handle each specific risk event – This includes changing assignments as seamlessly as possible to ensure that current work continues while the most capable team members are re-assigned to the task of mitigating the impact and cost of a prioritized threat.
- Planning for contingencies – There are many types of risk which cannot be prevented, necessitating the development of contingency plans. An example would be a change in regulations relating to the project. Here, having plans in place to adapt to a new set of regulations would most likely speed a mandatory transition, thus giving a project the best chance possible to stay on schedule and on budget.
- Knowing where to obtain new resources – If new resources (labor, commodities, etc.) will be needed to mitigate risks, knowing where to find them in advance will speed their implementation which can save both money and time.
Planning cost effective responses to unfolding risk events is a multi-layered and complex process. Walking through these issues with an experienced team like the one led by Dmitrij Harder at Solvo Group can both prioritize risks and deal with them in the most efficient manner possible.