Risk Response Plan

Risk Response Plan

            A response plan is a methodology and system of creating various activities and choices to effectively multiply different opportunities and help in minimization of peril and risks subjected towards project goals. A risk response plan should match the priority of the risk. Any risk response planning needs to be smart financially when resolving an arising issue. Thus, the program should be, however, effectively accomplished before the risk becomes high to be salvaged and meet the goals of the set project. Therefore, risk response planning is required to lie within realms of reality focused on the project’s parameters; thus, all parties are supposed to have a mutual agreement on the resolutions. An individual within the selected group of involved parties is required to take full ownership of planned risks responses.

Risk Owners

In other terms, a risk owner is, however, referred to as a risk manager. Risk management plays a fundamental part in project management. All risk owners need to develop specific campaigns that help in managing risks and identifying contingency plans which will keep every individual informed and support the risk response plan. Risk managers are supposed to undertake risk analyzing duties and effectively evaluate what needs to be done. For one to become an effective and efficient risk manager, one is supposed to develop a system that effectively executes regular based reviews and possess the skills set to identify and manipulate events through proactivity.

A risk owner should be smart mentally and share his/her knowledge, and any predicted details to other support staff. Risk managers are supposed to raise the quality of all decisions made by avoiding risks and assumptions that don’t exist. All risk managers are required to help in rolling out project-based goals by ensuring they are of good quality and can comfortably fit into the project’s budget and schedule. Risk owners should provide project methodology, and goals are easy to understand. Everyone taking part in the project development gets well informed on matters involving the processes and all purposes.

Familiar Risk Areas

Various projects have areas that get affected by common or ordinary risks that reappear predominantly. In my specific project, the appointed group is attempting to roll out a particular software upgrade in the company. Product size is a common risk associated with this project. This specific product size might not fit into the company’s size. The purchased product could, however, be large or small to facilitate all company needs effectively. To effectively mitigate this particular risk would, however, be to precisely estimate the product size to ensure it meets all company needs presently and in the future.

Another familiar risk gets termed as business impacts risk. The company’s revenue could face adverse effects during the mastery and training of the purchased product. A unique way that could mitigate this risk would, therefore, be to effectively conduct quarterly and monthly reviews that define all effects inflicted on the company’s revenue through this product. Predominantly, an additional impact risk involved with the business is acquiring good customer ratings based on the product (Stanleigh, Michael, 2017). When performing software upgrades, the critical factor gets concentrated on the ease of use. A question might pop up asking, are customer needs consistently? A proper way to mitigate this risk is to obtain information from customer-based surveys, which are end-users of the product.

Another business risk is finding out whether the product has proper communication as required with all existing systems or software. A straightforward way to mitigate this particular risk is by monitoring the product through the IT department to effectively ensure that all orders that existed are accepting and communicating hand-in-hand with the product. Additionally, a familiar risk is the project schedule. Deadline and schedule issues might be caused by micro-management of this project. This risk is mitigated through the maintenance of clear expectations and goals, conducting reviews every week focusing on management practices involved in this project, and resolving issues that might affect deadlines and schedule.

Project risks

In this project, we managed to train individuals focusing on the new software (SAP) through all departments in our region. The company is spread widely through multiple areas. The company maintains a uniform sale of products across its branches. This particular similarity posed high risks when conducting training in every department on how to effectively put the software into use. All encountered risks ensured that all employees understood the company’s expectations and how to use the software. Within the software, there were various ways to execute tasks, but we ensured each individual understood ways that accomplished every task. The significant risk, however, observed in ways in which jobs were hard to get accomplished in the company through the new software.

We effectively handled these risks through training of individuals, including all departmental representatives. We informed them based on the risks and all dangers of shortcut taking within the system and problems that could occur when keying in the wrong data. Financial statistics were handed out to these employees showing the cost of correcting any damage caused through the false representation of information. We spread knowledge through all departmental managers focusing on all repercussions of executing duties improperly. This method would make the managers perform tasks effectively with the utmost keenness. We went ahead to teach all departmental managers on the best ways of using this software. This step gave an assurance that all managers would have a deeper understanding of using the machine. The risks got appropriately handled, and the devised solution worked well.

Conclusion

Regardless of projects at stake, companies are going to experience success and failure stores. Experts advise the need to have a risk management plan that assists in preventing and identifying risks that cause hazards to the company. The company managers should form a team that handles risks promptly before they get worse.

References

Stanleigh, Michael (2017). Business Improvement Architects. Risk Managemen, the What, Why, and How. Retrieved from https://bia.ca/risk-management-the-what-why-and =how/