Consultant’s Risk Management for Desklib Online Library

This report emphasizes on the implementation of an upgraded system that can allow the better network connectivity and information exchange for the accomplishment of the operational activities in an efficient and effective manner. Risks have been always the tail of every project that cannot be extinguished however, the impact can be minimized through being prepared for the risks and estimating prior the execution of the project.

Running head: CONSULTANT’S RISK MANAGEMENT
Consultant’s Risk Management
Name of the Student
Name of the University
Author Note

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CONSULTANT’S RISK MANAGEMENT
Table of Contents
Executive Summary.........................................................................................................................2
Background......................................................................................................................................2
Change Management.......................................................................................................................3
Risk Management............................................................................................................................4
PMO.............................................................................................................................................4
Simulation....................................................................................................................................5
MIS..............................................................................................................................................5
Simulation....................................................................................................................................6
Finance.........................................................................................................................................6
Simulation....................................................................................................................................8
ESB..............................................................................................................................................8
Simulation....................................................................................................................................9
Security........................................................................................................................................9
Simulation..................................................................................................................................10
Infrastructure..............................................................................................................................11
Simulation..................................................................................................................................12
Summary by PLO......................................................................................................................12
Summary by Phase....................................................................................................................12
Conclusion.....................................................................................................................................13
Next Steps......................................................................................................................................13
Appendix 1.....................................................................................................................................13
Risk Register..................................................................................................................................13
Appendix 2.....................................................................................................................................17
Course Reflection..........................................................................................................................17
Bibliography..................................................................................................................................18

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CONSULTANT’S RISK MANAGEMENT
Executive Summary
Information technology has been one of the most crucial aspect for the current growth
and development of the industries as this is the only option for all the sectors to be ahead of the
other competitors. This report emphasizes on the implementation of an upgraded system that can
allow the better network connectivity and information exchange for the accomplishment of the
operational activities in an efficient and effective manner. Risks have been always the tail of
every project that cannot be extinguished however, the impact can be minimized through being
prepared for the risks and estimating prior the execution of the project. This report will cover the
eight sectors of the project and related risks and priority is being set through the application of
the Monte Carlo analysis using @Risk 7.52 trial version software.
Background
The Acme Medical Device Company has been looking for the future of the organization
and upgrade in the existing IT network has been considered as the most crucial aspect for the
successful delivery of the transformation needed for tackling the current environment of the
industry. This new implementation will also have many risks associated with the project
execution and hence, it is considerable fact to determine the severity of the risks and being
prepared for the strategies those are helpful in limiting the impacts of the identified risks. This
report will consider the eight important sectors of the project those are crucial and vulnerable to
the risks and related risks have been identified. A Monte Carlo analysis has been executed in this
report considering the identified risks and their quantitative values for the proposition of the
results those could be utilized for developing the strategies those could lead to efficient and
effective project execution.

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CONSULTANT’S RISK MANAGEMENT
Change Management
Figure 1: Change Management Processes
(Source: Created by Author)
The above demonstrated flow chart describes the change management process that needs to be
considered while executing the transformation in the existing system of the Acme Company. Two sections
have been divided for the entire process that includes change request and change status value and the
process starts with making the request for the change and follow to the review process where the changes
requests will be reviewed and permissions would be granted accordingly. Thereafter, the process move on
the assessing and planning that has three sub-processes as mentioned in the above diagram that lead to two
possibilities whether there are standard changes or not and whether they have been approved or not and if

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CONSULTANT’S RISK MANAGEMENT
the conditions move on to yes then the implementation procedure will be executed. After the verification,
implementation will be completed. Change status value will start from the prepared draft that will reaches
to approval after review that will led to the planning and implementation of the strategies those have been
planned accordingly.
Risk Management
PMO
Phase Calc Estimate Perfect Likel
y Outrageous
Planning 30.0 20 30 40
Design 20.0 15 20 25
Build 20.0 15 20 25
Test 20.0 15 20 25
Roll Out 12.0 10 12 14
Close Out 4.0 2 4 6
106.0 77.0 106.0 135.0
Probability of meeting value of 106 51.51% 106
Total budget required for 95.0% confidence 115 95%
Contingency required for 95.0%
confidence 9

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CONSULTANT’S RISK MANAGEMENT
Simulation
MIS
Phase Calc
Estimate Perfect Likely Outrage
ous Sampled
Plan 10.0 5 10 15 11.31486295
Design - Matilda v6.3
Manufacturing Planning 20.0 10 20 30 14.39791483
Design - Matilda v6.3
Manufacturing Execution 20.0 15 20 25 20.17929024
Design - Matilda v6.3 CAD 20.0 10 20 30 26.38433564
Design - Matilda v6.3 CAE 10.0 5 10 15 11.41426448
Design - Pipedrive CRM v2.2.6 4.0 2 4 6 4.890742833
Build - Matilda v6.3
Manufacturing Planning 20.0 10 20 30 19.05241141
Build - Matilda v6.3
Manufacturing Execution 20.0 10 20 30 22.42161839
Build - Matilda v6.3 CAD 4.0 2 4 6 5.277929236
Build - Matilda v6.3 CAE 4.0 2 4 6 3.569906758
Build - Pipedrive CRM v2.2.6 5.0 2 4 12 3.374377605
Test - Matilda v6.3
Manufacturing Planning 10.0 5 10 15 9.418785546
Test - Matilda v6.3
Manufacturing Execution 10.0 5 10 15 12.14546102
Test - Matilda v6.3 CAD 4.0 2 4 6 4.758033829
Test - Matilda v6.3 CAE 4.0 2 4 6 4.978134612
Test - Pipedrive CRM v2.2.6 4.0 2 4 6 3.328817578

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CONSULTANT’S RISK MANAGEMENT
Test - Matilda v6.3 and Hot
Backup 4.0 2 4 6 2.897501869
Train 10.0 4 8 24 12.56760315
Roll Out 9.0 6 9 12 7.493737012
Close Out 2.0 1 2 3 1.288440094
194.0 102.0 191.0 298.0 201.1541691
Probability of meeting value of
194 41.41% 191
Total budget required for 95.0%
confidence 210 95%
Contingency required for 95.0%
confidence 16
Simulation
Finance
Phase Calc
Estimate Perfect Likely Outrageo
us Sampled
Plan 10.0 5 10 15 9.140903869
Design - Oracle EBS v12.2.9
G/L 10.0 5 10 15 5.795458391

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CONSULTANT’S RISK MANAGEMENT
Build - Oracle EBS v12.2.9 G/L 8.0 4 8 12 6.570660004
Test - Oracle EBS v12.2.9 G/L 4.0 2 4 6 4.286114966
Test - Oracle EBS v12.2.9 G/L
and v12.2.3 A/P 4.0 2 4 6 3.535163506
Test - Oracle EBS v12.2.9 G/L
and v12.2.3 A/R 4.0 2 4 6 5.48489448
Test - Oracle EBS v12.2.9 G/L
and v12.2.3 F/A 4.0 2 4 6 4.15929623
Test - Oracle EBS v12.2.9 G/L
and Matilda v6.3 4.0 2 4 6 2.467330352
Test - Oracle EBS v12.2.9 G/L
and Hot Backup 4.0 2 4 6 4.803184161
Test - Oracle EBS v12.2.9 G/L
and Pipedrive CRM v2.2.6 4.0 2 4 6 4.852755395
Train 6.0 4 6 8 6.560832339
Roll Out 10.0 8 10 12 10.2295143
Close Out 2.0 1 2 3 2.779901245
74.0 41.0 74.0 107.0 70.66600923
Probability of meeting value of
74 47.44% 74
Total budget required for 95.0%
confidence 80 95%
Contingency required for 95.0%
confidence 6

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CONSULTANT’S RISK MANAGEMENT
Simulation
ESB
Phase Calc
Estimate Perfect Likely Outrageou
s Sampled
Planning 10.0 5 10 15 9.306947817
Design 10.0 5 10 15 9.594274851
Build - ESB and G/L 4.0 2 4 6 5.038802668
Build - ESB and A/P, A/R
& F/A 10.0 5 10 15 11.38901146
Build - ESB and HRMS 10.0 5 10 15 10.61459867
Build - ESB and Security 10.0 5 10 15 9.513632026
Build - ESB and Matilda 10.0 5 10 15 6.198391213
Build - ESB and CRM 10.0 5 10 15 10.93378658
Test - ESB and G/L 6.0 3 6 9 7.119045715
Test - ESB and A/P, A/R &
F/A 6.0 3 6 9 6.841023829
Test - ESB and HRMS 6.0 3 6 9 4.895014368
Test - ESB and Security 6.0 3 6 9 6.75665225
Test - ESB and Matilda 6.0 3 6 9 7.058649108
Test - ESB and CRM 6.0 3 6 9 5.532622325
Train 4.0 2 4 6 3.553999687
Roll Out 20.0 10 20 30 25.75037748
Close Out 2.0 1 2 3 2.437956886
136.0 68.0 136.0 204.0 142.5347869

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CONSULTANT’S RISK MANAGEMENT
Probability of meeting
value of 136 50.21% 136
Total budget required for
95.0% confidence 147 95%
Contingency required for
95.0% confidence 11
Simulation
Security
Phase Calc
Estimate Perfect Likely Outrageous Sampled
Plan 8.0 4 8 12 10.09571269
Design - IBM Cloud Security 8.0 4 8 12 7.130357288
Design - IBM Security
Intelligence and Analytics 8.0 4 8 12 9.780514944
Design - IBM Data Security 8.0 4 8 12 4.67383807
Design - IBM Network
Security 8.0 4 8 12 5.079395297
Build - IBM Cloud Security 4.0 2 4 6 3.502715271
Build - IBM Security
Intelligence and Analytics 2.0 1 2 3 2.312769557

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CONSULTANT’S RISK MANAGEMENT
Build - IBM Data Security 16.0 8 16 24 11.39156031
Build - IBM Network
Security 12.0 8 12 16 12.61765799
Test - IBM Cloud Security 8.0 4 8 12 5.17084047
Test - IBM Security
Intelligence and Analytics 8.0 4 8 12 10.08927718
Test - IBM Data Security 8.0 4 8 12 6.936401249
Test - IBM Network Security 8.0 4 8 12 9.656058974
Train 8.0 4 8 12 6.0728229
Roll Out 12.0 10 12 14 12.37185419
Close Out 2.0 1 2 3 1.90237692
128.0 70.0 128.0 186.0 118.7841533
Probability of meeting value
of 128 52.30% 128
Total budget required for
95.0% confidence 137 95%
Contingency required for
95.0% confidence 9
Simulation

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CONSULTANT’S RISK MANAGEMENT
Infrastructure
Phase Calc
Estimate Perfect Likely Outrageous Sampled
Plan 6.0 2 6 10 4.965895049
Design - 5 Servers 10.0 5 10 15 9.905187821
Design - ESB 10.0 5 10 15 7.866979553
Build - 5 Servers 10.0 5 10 15 8.706114739
Build - ESB 10.0 5 10 15 9.921604623
Test - 5 Servers 10.0 8 10 12 9.358495145
Test - ESB 4.0 2 4 6 4.461108018
Train 6.0 4 6 8 4.870521249
Roll Out 12.0 10 12 14 11.89019026
Close Out 2.0 1 2 3 1.345651549
80.0 47.0 80.0 113.0 73.29174801
Probability of
meeting value of 80 45.94% 80
Total budget
required for 95.0%
confidence
86
95%
Contingency
required for 95.0%
confidence
6

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CONSULTANT’S RISK MANAGEMENT
Simulation
Summary by PLO
Team Calc
Estimate
Perfec
t
Likel
y
Outrageou
s Comments %
PMO 106.0 77.0 106.0 135.0 Testing and roll out
risks 15%
MIS 194.0 102.0 191.0 298.0 Testing risks between
Oracle and Matilda 27%
Finance 74.0
41.0 74.0 107.0
Testing risks between
new and old Oracle
versions 10%
ESB 136.0 68.0 136.0 204.0 ESB design and
testing risks 19%
Security 128.0 70.0 128.0 186.0 Server design and
testing risks 18%
Infrastructure 80.0 47.0 80.0 113.0 Server design and
testing risks 11%
Total 718.0 405.0 715.0 1,043.0 100%
Summary by Phase
Team Plan Design Build Test Roll Out Close Total % of Total

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CONSULTANT’S RISK MANAGEMENT
Out
PMO 30 20 20 20 12 4 106.0 15%
MIS 10 74 53 36 19 2 194.0 27%
Finance 10 10 8 28 16 2 74.0 10%
ESB 10 10 54 36 24 2 136.0 19%
Security 8 32 34 32 20 2 128.0 18%
Infrastructur
e 6 20 20 14 18 2 80.0 11%
Total 74 166 189 166 109 14 718.0 100%
Conclusion
The above report explains the risk associated with the risks those might arise or being
raised during the execution of the project. Monte Carlo analysis through using @Risk 7.5
industrial trial application that helped in generating the random figures as demonstrated in the
above report. The proposed result can be utilized for the further proceeding with the risk
handling and how the strategies could be implemented those could lead to the execution of an
efficient project.
Next Steps
The Acme medical device company can utilize the above proposed results for better
implementation strategies. The future work will emphasize on compliance of the policies with
the newly proposed systems and the existing systems considering the privacy and security of the
data and information being calculated.
Appendix 1
Risk Register
Sector Risk Probability Consequence

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CONSULTANT’S RISK MANAGEMENT
Upgrade the
infrastructure
Rolling out the new hardware on time in manner to
support the other IT projects in this program and
thus, the infrastructure program could be delayed
by two to three weeks
50 100
Security
Systems
Upgrade
Agreeing the CEO on the respective updates would
be a risky job considering the amount and
expenditure being made on the new upgrades for
the propose system
45 95
ESB
Implementation
IT equipment arrival could take longer time than
expectations as it will need to be managed through
outsourcing or contacting the third parties. This
could alternatively impact the timeline of the
project by two to three weeks
35 50
MIS Upgrade The workshop designing is another risky sector for
the successful delivery of the project and thus, it
could possibly influence the entire project growth
and delivery
40 85
ERP Upgrade The ERP is being late for the necessary
implementation of the upgrade due to the shortage
in the human resources those could lead to the
execution of the overload work for the necessary
accomplishment of the project constraints those
could alternatively influence the standard and
quality of the project.
45 70
Establish a
Project
Management
Office
The problems and delays to get the new scope
items approved illustrated to the C-Suite that Acme
needs a coherent and formal change control process
70 100
IT Operations
Management
This management could lead to unfruitful even
after successful accomplishment of the IT
operations
60 90
IT
Reorganization
Financial processes are built into the
manufacturing systems process and that the
financial and manufacturing information flows
75 50

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CONSULTANT’S RISK MANAGEMENT
between the financial and manufacturing systems.
Phase Impact Probability
PMO
Planning H V H
Design H H
Build H H
MIS
Plan L M
Design - Matilda v6.3 Manufacturing Planning M V H
Design - Matilda v6.3 Manufacturing Execution H V H
Design - Matilda v6.3 CAD H V H
Design - Matilda v6.3 CAE L M
Design - Pipedrive CRM v2.2.6 V L L
Build - Matilda v6.3 Manufacturing Planning M H
Build - Matilda v6.3 Manufacturing Execution M H
Build - Matilda v6.3 CAD V L L
Build - Matilda v6.3 CAE V L L
Build - Pipedrive CRM v2.2.6 V L L
Test - Matilda v6.3 Manufacturing Planning L M
Test - Matilda v6.3 Manufacturing Execution L M
Test - Matilda v6.3 CAD V L L
Test - Matilda v6.3 CAE V L L
Test - Pipedrive CRM v2.2.6 V L L
Test - Matilda v6.3 and Hot Backup V L L
Train L M
Roll Out L H
Close Out V L L
Finance
Plan L M
Design - Oracle EBS v12.2.9 G/L L M
Build - Oracle EBS v12.2.9 G/L L M
Test - Oracle EBS v12.2.9 G/L V L L
Test - Oracle EBS v12.2.9 G/L and v12.2.3 A/P V L L
Test - Oracle EBS v12.2.9 G/L and v12.2.3 A/R V L L
Test - Oracle EBS v12.2.9 G/L and v12.2.3 F/A V L L
Test - Oracle EBS v12.2.9 G/L and Matilda v6.3 V L L
Test - Oracle EBS v12.2.9 G/L and Hot Backup V L L
Test - Oracle EBS v12.2.9 G/L and Pipedrive CRM v2.2.6 V L L

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CONSULTANT’S RISK MANAGEMENT
Train V L M
Roll Out L M
Close Out V L V L
ESB
Planning L M
Design L M
Build - ESB and G/L V L L
Build - ESB and A/P, A/R & F/A L M
Build - ESB and HRMS L M
Build - ESB and Security L M
Build - ESB and Matilda L M
Build - ESB and CRM L M
Test - ESB and G/L V L L
Test - ESB and A/P, A/R & F/A V L L
Test - ESB and HRMS V L L
Test - ESB and Security V L L
Test - ESB and Matilda V L L
Test - ESB and CRM V L L
Train V L L
Roll Out M H
Close Out V L V L
Security
Plan L M
Design - IBM Cloud Security L M
Design - IBM Security Intelligence and Analytics L M
Design - IBM Data Security L M
Design - IBM Network Security L M
Build - IBM Cloud Security V L V L
Build - IBM Security Intelligence and Analytics V L V L
Build - IBM Data Security L H
Build - IBM Network Security L H
Test - IBM Cloud Security L M
Test - IBM Security Intelligence and Analytics L M
Test - IBM Data Security L M
Test - IBM Network Security L M
Train L M
Roll Out M H
Close Out V L V L
Infrastructure
Build - 5 Servers L M
Build - ESB L M

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CONSULTANT’S RISK MANAGEMENT
Test - 5 Servers L M
Test - ESB V L L
Train L L
Roll Out M M
Close Out V L V L
Appendix 2
Course Reflection
I get to know about the importance of the risk mitigation while delivering the IT projects
and efficient could it be for the entire project delivery. I learnt practical aspect of the Monte
Carlo analysis and learnt how to use @Risk 7.5 industrial trial version and learnt how to simulate
the calculated results in an efficient and effective manner. I managed to minimize the impact of
the identified risks and how these could be limited for the successful and efficient delivery of the
project.

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CONSULTANT’S RISK MANAGEMENT
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