Formalized and Systematic Risk Management Process for Complex Projects with Esra Tepeli
DescriptionTopics: Business Analysis | Risk Management | Risk Mitigation | Complexity | Project Management
Project risks can give negative impacts on project objectives, such as delay, cost overruns, decrease in quality and security aspects, which can cause serious project failures. Risk management aims to identify possible causes of threats and opportunities, to assess them qualitatively and quantitatively, and to propose action plans for risks deemed critical in order to decrease the undesirable effects on project objectives.
Complex projects are affected by numerous risks and opportunities because of their complex organizational plan with a large number of stakeholders, complex planning with a long life cycle, complex resource management, technical issues, and particular environmental factors. This type of project may also present strategic importance for the project stakeholders. It is essential to identify and analyze the project risks and opportunities throughout the project life cycle and develop risk response planning in order to decrease the adverse risk effects. However, traditional methods are rather limited for managing the risks of complex and strategic projects.
In this seminar, a formalized and systematic risk management process is proposed for complex and strategic projects throughout the project life cycle. This process aims to identify systematically the risks and opportunities, assess the risk impacts in terms of cost, delay, quality and safety, determine the critical risks, and develop action plans in order to mitigate, eliminate or transfer the negative risk impacts. The process proposes a dynamic risk management approach in parallel with the project management through the project life cycle, adapted to the evolving nature of the project. The risk assessment results are integrated into the project simulation with cost, time, quality and safety risk impacts. An objective and reliable risk identification and assessment method is provided with a multi-dimensional project analysis, associated with the project planning, organizational structure, resources, and environmental factors. The model is designed and developed based on several case studies of complex projects and in partnership with the project practitioners to favor its use in real operation conditions and to ensure its efficiency by integrating the different perspectives of the project stakeholders for an effective risk management method. A user-friendly prototype interface has been developed to apply the process for real projects. The process is primarily developed for complex construction projects but the model can be adapted to a specific type of complex and strategic project in different sectors. How it works in practice is illustrated through a case study of a public-private-partnership (PPP) project in France.
What You Will Learn
Upon completion of this course, participants will be able to:
- Define the features and the environmental factors of complex and strategic projects.
- Develop a formalized and systematic risk management process throughout the project life cycle.
- Model a multi-dimensional project analysis for identifying and assessing the risks and opportunities for complex projects, proposing risk response planning.
- Integrate project management, risk management and decision-making process in a systematic approach, adapted to the evolving nature of complex projects.
- Illustrate a user-friendly prototype tool to apply the process in real operation conditions.
PDU Allocation Table
|CAPM / PMP / PgMP||21||0||0||21.00|
|PMI-ACP / Agile*||0||0||0||0.00|