Verified Document

It Project Management The Business Case Study

In this way, it will be able to control the risk of mismanagement and inefficient utilization of organizational resources (Velcu, 2010). 5.2: Risks in the Projects

5.2.1: Risk Identification, Types, and Analysis:

The biggest risk in this project is the cost risk, i.e. The company may underestimate the required financial resources for this project. This risk cannot only bring the company under financial difficulties, but also spoil its relationships with the vendors, contractors and sub-contractors, and consultants. The cost risk may also arise if the project management team fails to estimate the scope creep of the project (Nagarajan, 2005). Another type of risk in this project is the scheduling risk, i.e. The project management team may not be able to complete the project within the allocated time. If any of the activities takes greater time than the estimated time, all the subsequent activities can be affected which results in late completion of the whole project (Schwalbe, 2010). This risk also arises when the engineers or technicians find errors in the implementation of the system. Thirdly, the company's management may observe poor performance of the employees in the initial few months due to their non-familiarity with the system (Cooper, Grey, Raymond, & Walker, 2004).

5.2.2: Risk Analysis and Management Strategies

In order to proceed with the project implementation process in a cautious and effective way, the project management team will have to analyze the intensity and possible consequences of these risks before they hit the company. On the basis of this analysis, the team will have to design strategies to minimize or mitigate these risks. Firstly, the cost risk can be analyzed by carefully preparing the estimated expenses of all the activities of the project and weighting them against the available financial resources. This analysis will give them an idea that whether the company should proceed with the implementation or should wait for some period to arrange sufficient finance (Xue, Liang, Boulton, & Snyderc, 2005).

Secondly,...

The team will have to ensure that the company's normal operational tasks do not get disrupted due to this project implementation process. Thirdly, the project management team can recommend the Top Management of the company to arrange training sessions for all those employees who will use this automated system. A proper training and development program will enable them to operate the system in an effective and efficient way (Haynes, 2002).
References

Cooper, D., Grey, S., Raymond, G. & Walker, P. (2004). Project Risk Management Guidelines: Managing Risk in Large Projects and Complex Procurements, eBook. Chichester: John Wiley & Sons

Haynes, M.E. (2002). Project Management: Practical Tools for Success, 3rd Edition. Menlo Park, California: Crisp Learning

Information Resources Management Association, (2011). Enterprise information systems: concepts, methodologies, tools and applications. Hershey: Business Science Reference

Meredith, J.R. & Mantel, S.J. (2012). Project Management: A Managerial Approach, 8th Edition. Hoboken, NJ: Wiley

Nagarajan, K. (2005). Project Management, 2nd Edition. New Delhi: New Age International

Oz, E. (2009). Management information systems, 6th Edition. Boston, Mass: Thomson/Course Technology

Schwalbe, K. (2010). Information technology Project Management, 6th Edition. Boston, MA: Course Technology.

Swink, M. & Nair, a. (2007). "Capturing the competitive advantages of AMT: Design -- manufacturing integration as a complementary asset," Journal of Operations Management, 25 (3): 736-754.

Velcu, O. (2010). "Strategic alignment of ERP implementation stages: An empirical investigation," Information & Management, 47 (3): 158-166.

Xue, Y., Liang, H., Boulton, W.R. & Snyderc, C.A. (2005). "ERP implementation failures in China: Case studies with implications for ERP vendors," International Journal of Production Economics, 97 (3): 279-295.

Sources used in this document:
References

Cooper, D., Grey, S., Raymond, G. & Walker, P. (2004). Project Risk Management Guidelines: Managing Risk in Large Projects and Complex Procurements, eBook. Chichester: John Wiley & Sons

Haynes, M.E. (2002). Project Management: Practical Tools for Success, 3rd Edition. Menlo Park, California: Crisp Learning

Information Resources Management Association, (2011). Enterprise information systems: concepts, methodologies, tools and applications. Hershey: Business Science Reference

Meredith, J.R. & Mantel, S.J. (2012). Project Management: A Managerial Approach, 8th Edition. Hoboken, NJ: Wiley
Cite this Document:
Copy Bibliography Citation

Related Documents

Project Management Human Resource Training
Words: 967 Length: 3 Document Type: Research Paper

The defining of individualized scaffolding or customized learning programs must be in the context of a curriculum broad enough to encompass the roles of project manager, business analyst and contract manager however if it is to be effective, as is shown in the DMH program (Damare, 2008). By having a unified curriculum, the weakest areas of project management can quickly to dealt with an improved as well. This specific

Project Closure in Project Management
Words: 1881 Length: 5 Document Type:

PROJECT Management (Business) In general, the closing phase of any project encompasses all the ultimate and concluding processes and practices to finish out a project and provide final products and accounts to all stakeholders. Basically, this phase makes certain that all reports and deliverables are well-organized and delivered over to the pertinent units of business and stakeholders. In addition, this is the stage where any residual contractual commitments, disbursements and retailer

Time and Money in Project Management
Words: 900 Length: 3 Document Type:

Project Management (Business) Return on Investment is applicable to decision making by the management by making use of projected proceeds in addition to the time value of money. The weighed up total cost of the project over the five-year time period of its life cycle $20 million. The intent of the organization is the plan to borrow this full amount and from then on recompense the debt every year in 5-year

Project Management Plan
Words: 2954 Length: 11 Document Type: Research Paper

Project Management Plan of a New Restaurant This project management plan is majorly concerned primarily with the first two steps which are defining the project; the project objective is broken down into a series of manageable steps called tasks and designing the project process; this work is performed by the project manager and is presented in the GANTT chart where the tasks are displayed in more detail (Hamilton, 2004). Besides, for

Project Management in a Legal Context Project
Words: 1301 Length: 5 Document Type: Essay

Project Management in a Legal Context Project management is increasingly becoming a popular and preferred way of contending with inter-organizational ventures that are out of the ordinary. When the functions of a project require the involvement of specialized personnel and skill sets which may not be readily represented from within the company to the fullest extent demanded, it may be appropriate to organize a project team. This might be comprised of

Project Management Involved in Formation of Airbus A380
Words: 3616 Length: 10 Document Type: Research Paper

Project Management Involved Formation of Airbus Project Management involved in Formation of Airbus The report investigates factors that led to the A380 project crisis. Analysis of the project revealed that Airbus did not integrate an effective project management model into the project lifecycle leading the project to be two years behind schedule, which eventually led to the costs escalations. The report reveals several lessons to be learned from the A380 project crisis.

Sign Up for Unlimited Study Help

Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.

Get Started Now