Risk Management Plan

This report discusses the risk management plan for a joint venture project between Corwin Corporation and Peter's Company. It includes a risk register with descriptions of each risk, their impact, probability of occurrence, and response strategies. The report also provides a critical analysis of the response strategies and the resources responsible for resolving the risks.

1
Risk Management Plan

2
Table of Contents
Introduction............................................................................................................................3
Risk register............................................................................................................................3
Conclusion............................................................................................................................10
References............................................................................................................................11

3
Introduction
The task of this project was the joint venture of the two companies, Corwin Corporation and
Peter’s Company to perform R&D in a new line of rubber product. The project was assigned by
the Peter’s Company to Corwin Corporation and due to the poor handling and planning of the
project, the project was cancelled after some tests and a certain amount of problem occurred
while the project was running. This risk register contains all the possible risk that were occurred
during the project and describes the impact of the risks on the said project.
Risk register
Project Manager
Name
Dan West
ID Curr
ent
Statu
s
Risk
Category
Risk
Description
Risk
Impa
ct
Probab
ility of
Occurr
ence
Risk
Ratin
g
Risk
Respo
nse
Strate
gy
Response
Strategy
Assigned
To
1. Open Planning The biggest
risk that was
involved in the
failure of this
product was
the improper
planning and
plan
management
that was
carried out
during the
initial phase of
the project.
High High High Avoida
nce
The
response
strategy to
avoid or
recover
from this
kind of
risk was to
use the
several
tools that
are used in
the
planning
The work
to
carefully
and
successful
ly plan
the
project is
the
responsibi
lity of the
Project
Manager.
The

4
The project
was started by
roughly
analyzing all
the details and
the risks that
were going to
be face while
working on the
project
(Nehrebecka,
2018).
and
manageme
nt of the
company
and the
product
that they
are
providing.
Some of
the tools
which
could have
been used
were the
Project
Manageme
nt Plan.
Project
Manager
should
properly
use the
tools to
prepare a
successful
and
detailed
project
managem
ent plan
to
smoothly
carry on
the
project
work and
avoid the
risks
involved
in it.
2. Open Communi
cation
Reason for the
occurrence of
this risk was
due to the lack
of proper
communicatio
n between the
marketing vice
High High High Mitigat
ion and
Avoida
nce
The
marketing
vice
presidents
of both the
companies,
the project
managers
The
people in
charge of
the
communi
cation
risks were
the vice

5
presidents of
both the
companies.
and the
sponsors
should
have
proper
communic
ation while
the project
was
undergoin
g
(Lejarraga
et al.
2016).
presidents
and the
project
managers
from both
the
companie
s.
3. Open Time
Varience
When there
was no proper
planning and
communicatio
n, and the
resources
provided for
the project was
enough, the
time variance
took place
because of the
interference of
another
company in
the work of
Corwin’s
High High High Transfe
rring
In this
case, it
should
have been
clear from
the side of
Corwin
corporatio
n that Pat
Ray cannot
interfere in
the
research
lab works
and should
only be
allowed to
The
stakehold
ers of the
project
were to
be
informed
about the
situation
and the
R&D
team
should
have been
the only
one to
work on

6
research team
(Bouslah et al.
2018).
enter the
lab if
accompani
ed by the
project
manager
the
research
of the
new
product.
4. Open Cost
Variance
Similarly like
the time
variance, the
cost variance
happened
because
although the
product was
providing the
desirable
results, it was
interfered by
Pat Ray and it
showed no
improvement
according to
him. This lead
to the
increased
testing and
thus increased
cost.
High High High Avoida
nce
It is
important
to look
into the
factors
which
caused this
cost
variance
and by
communic
ation
between
the vice
presidents,
Pat Ray
should
have been
advised to
support the
team of
Corwin
Corporatio
n instead
of
The
Project
Manager
is in
charge of
the cost
and the
time that
should be
taken in
completin
g the
project.
The time
and cost
should be
decided
before in
a proper
way and
not using
the rough
estimate.

7
interfering
in their
work.
5. Open Assigning
the task
The task of the
project
manager was
assigned to
Dan West who
was a scientist
from the R&D
department
and had less
experience in
marketing
strategies.
Instead it
should have
been the
marketing
expert of the
company who
should have
given the
Project
Managers title.
High Low High Mitigat
ion
The
Project
Managers
futile
efforts
should
have been
seen and
the
marketing
experts of
the
company
should
have
involved
sooner in it
and taken
the task in
their own
hands
(Renz,
2016).
It was the
work of
Royce to
assign a
proper
duty to
everyone
working
under the
project
including
the role of
the
Project
Manager.
6. Open Project The project
was
undertaken
when most of
the company
High Low High Avoida
nce
In the
absence of
the team,
this project
of project
Gine
Frimel,
the
marketing
vice

8
employees
including the
boss were on
vacation and
the decision
was taken in a
hurry (Kerzner
and Kerzner,
2017).
should not
have been
taken by
the
company.
These
types of
occurrence
s can
prove to be
harmful
for the
company.
president
of Corwin
Corporati
on had
the
conversati
on with
the
marketing
vice
president
of the
Peters
Company.
This
project
was
assigned
to the
company
through
them and
after the
final
agreemen
t of the
company
boss.
7. Open Technical Proper
documents
regarding the
High High High Avoida
nce
With
proper
documenta
The
project
manager

9
technical work
were not
presented in
this case, the
work of the
employees in
the technical
department
should have
been left to
them. No
interference
from anyone
from the
marketing or
the
management
team should
have been
done in this
case (Zhang,
2016).
tion, the
needs and
the cost
used in the
testing
should
have been
discussed
with the
technical
department
and then
further
steps
should
have been
taken. The
project
should not
have
moved
further
without the
authenticat
ion of the
R&D and
the
technical
department
.
is
assigned
the task to
arrange
everythin
g related
to the
technical
departme
nt. The
reason
behind it
being the
technical
field that
the
project
manager
originally
belongs
to.
8. Open Staff The company High High High Avoida In this This work

10
involvem
ent
staff and all
the important
people of the
company were
not taking
much interest
in this project.
Instead of
discussing it
with the staff
and others, the
project was led
single
handedly by
the Project
Manager only
which caused
some of the
problems.
nce case, all
the
important
people
working
for the
company
should
come
forward
and try to
analyse the
situation
and look
into the
risks
which
might be
faced at
the later
phase of
the project
completion
.
is
assigned
automatic
ally to the
project
manager,
if the
problems
were
occurring
and it was
getting
difficult
to manage
the
project in
the
allowed
budget,
then the
project
manager
needs to
consult
with the
other
employee
s of the
company.
9. Open Quality The quality of
the work done
High High High Avoida
nce
A proper
project
It is the
work of

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and the
product that
was to be
obtained was
never good.
Due to the
involvement of
others in the
technical
department the
product could
never gain the
desired quality
which
degraded the
product
(Heagney,
2016).
manageme
nt should
have been
prepared
and the
proper
quality
manageme
nt should
be done,
where the
documenta
tion should
be
presented
where the
product
and
improvem
ent in its
quality
should be
recorded
and well
documente
d.
the
Quality
Manager
to look
into all
the
aspects of
the
product
and how
the
quality of
the said
product
can be
improved
and what
methods
or tools
should be
used in
doing
that.
Conclusion
In the report, each risk and the category that it falls into is described using the risk register and
the impact of the risk, probability of occurrence and the strategy to respond to that risk is
mentioned. A critical analysis of the response strategy has also been provided to define the

12
resource who shall be resolving the risk. This helps the project to define the response strategy
and resource who shall be monitoring it in future phases of the project.
References
Bouslah, K., Kryzanowski, L. and M’Zali, B., 2018. Social performance and firm risk: impact of
the financial crisis. Journal of Business Ethics, 149(3), pp.643-669.
Heagney, J., 2016. Fundamentals of project management. Amacom.
Kerzner, H. and Kerzner, H.R., 2017. Project management: a systems approach to planning,
scheduling, and controlling. John Wiley & Sons.
Lejarraga, T., Woike, J.K. and Hertwig, R., 2016. Description and experience: How experimental
investors learn about booms and busts affects their financial risk taking. Cognition, 157, pp.365-
383.
Nehrebecka, N., 2018. Predicting the Default Risk of Companies. Comparison of Credit Scoring
Models: Logit Vs Support Vector Machines. Econometrics, 22(2), pp.54-73.
Renz, D.O., 2016. The Jossey-Bass handbook of nonprofit leadership and management. John
Wiley & Sons.
Zhang, Y., 2016. Selecting risk response strategies considering project risk
interdependence. International Journal of Project Management, 34(5), pp.819-830.