Risk and opportunity are inherent in projects and yet, whilst many organizations invest heavily in project management methodologies and processes in the hope of ensuring delivery on time and to budget, project sponsors, project board members or managers do not see that the root cause of the problem of overspend and late completion could be that their projects were underestimated in the first place. Often the techniques used to calculate the funding and time scales required are inadequate, because they failed to take ...
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Risk and opportunity are inherent in projects and yet, whilst many organizations invest heavily in project management methodologies and processes in the hope of ensuring delivery on time and to budget, project sponsors, project board members or managers do not see that the root cause of the problem of overspend and late completion could be that their projects were underestimated in the first place. Often the techniques used to calculate the funding and time scales required are inadequate, because they failed to take properly into account the potential effects of risk and opportunity. The approach taken in Project Risk Analysis is to show and explain how risk and opportunity in a project will affect its funding requirement and its time scales, and how the understanding of this can be used to devise management controls that will benefit both the investor and the project manager.
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