Project Management Tips

The Curve in the Road Must Always Bring Bumps

Managing risk is essential to project management success

The phone rings at midnight in the bedroom of our product director, Mike. He picks up the phone sleepily and hears Rob the materials manager on the other end. Rob explains that the plastic they ordered from Hong Kong came into the office and it's the wrong type. A week lost at most, possibly two. The product director starts to wake up. Say again? There is more: Rob explains that not only did they send the wrong plastic but the plastic they originally ordered is out of production. The plastic factory made a mistake. The product director lets out a resigned sigh.

The beginning of this story took a different path - a straight one. Four weeks ago our product director had a plan. He gathered everyone on his staff and had a discovery meeting. The meeting led to a comprehensive specification. All product details were written and outlined meticulously. Documentation was sent around to the appropriate people. Final changes were made and the project was given the green light. The communication portion of this project was right on the money. Someone self-assuredly said they expected things to go so well, the project would be finished two weeks early. Everyone smiled.

Three weeks later after that fateful, late night call and the plastic is still a no show. The product schedule is sliding dangerously and management is acting cold.

While at work our product director receives three phone calls from close friends. He talks about the Hong Kong debacle with each one. His friend the philosopher says his problems are probably rooted in "Murphy's Law." Later, his lawyer friend declares a strategy of litigation against the plastic company. And at the end of the day, his friend the szechuan chef mentions off-handedly, "the problem here may be a lack of good risk management."

Managing Risk is Essential

Risk management is planning for the eventual flat tire that has yet to pop. In other words, it is the act of planning for probable occurrences that will jeopardize the success of any project. No matter the circumstance, a lost part order, an employee quitting mid-game, or a fundamental change by management, each problem could probably be mitigated if some basic risk planning was involved and included in the project plan.

When the discovery process begins, keep in mind where and what potential risks could manifest throughout each project cycle. Talk about the consequences of such occurrences, and put together alternative strategies to deal with these possible disasters.

Managing risk in your projects doesn't have to be an extensive exercise of "what if." Start by identifying three potential areas where a project can be critically damaged. Focus on alternative solutions and steps for those three danger zones and you will have significantly increased your chances of success. Take the time to make sure that vulnerable project areas have the extra attention they require, and keep an eye out for any signs of trouble.

Even if you do not have the budget or "time" for mistakes in your project process, keep in mind that no matter how hard you "will" a perfect outcome, deadlines will be broken, and trouble will find you. This is a truth for all projects. So instead of being our unlucky and unprepared project director, manage your risks before they end up managing you.




Vertabase: Web Project Management Tool
Vertabase 4 is a feature-rich project management application. Vertabase can help you manage risk in your projects with great features such as project tracking, issue management and powerful reports. Top-rated project management software along with training, consulting and on-going support, with all-inclusive pricing, ensures your use of Vertabase will be successful. Vertabase 4 gives you the best approach to project management.


Back to project management tips