Comprehensive Management Plan: Hospital Construction Project Analysis

This report presents a comprehensive management plan for a hospital construction project, specifically addressing the installation of an angiography system. It begins with an introduction to risk management, emphasizing its importance in minimizing the negative impacts of uncertainties. The report details key project management components, including risk identification, categorizing risks into health and safety, technical, economic, natural, political, privacy, governance, operational, and legal categories. It outlines various risk strategies, such as avoidance, transfer, mitigation, and acceptance for negative risks, and exploitation, sharing, enhancing, and acceptance for positive risks. The report further describes methodologies like brainstorming, root cause evaluation, and the use of a risk register and probability/effect matrix for risk assessment and prioritization. It also defines risk responsibilities among stakeholders, emphasizing the project manager's role in decision-making and reporting. The report explores the process of risk assessment, including probability and impact analysis, and concludes by providing a detailed overview of the funding, stakeholder risk appetite, and risk tracking and reporting aspects of the project, offering a thorough guide to managing hospital construction effectively.

Running Head: MANAGEMENT PLAN FOR HOSPITAL CONSTRUCTION 1
The management plan for hospital construction
Name
Institution
Course
Date

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TABLE OF CONTENTS
Introduction.………………………………………………………………………………….……3
Project management components……………………………………………………………...….4
Risk identification and categories…………………………………………………………………4
Risk strategies…………………………………………………………………………………….5
Methodologies…………………………………………………………………………………….7
Risk responsibilities……………………………………………………………………………….8
Risk assessment……………………………………………………………………………………8
Risk response………………………………………………………………………………………
9
Funding………………………………………………………………………………………….10
Stakeholder risk appetite…………………………………………………………………………11
Risk tracking and reporting………………………………………………………………………
11
Conclusion…………………………………………………………………………...……….….12
References……………………………………………………………………………………….14

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INTRODUCTION
Risk refers to a circumstance that has chances of taking place and could either negatively affect a
project (Szymański, 2017). Risk management involves processes that go on from the beginning
to the end of a particular project. Risk management includes activities for risk management
identification, analysis, planning, control, and monitoring. Risk management's objective is to
reduce the impact and probability of events that may negatively affect a project. Recognition of
risk starts before initiating a project, and the risks may multiply as a project matures. All risks
identified during a project should be documented. In healthcare, risk management in installing an
angiography system will involve a systematic and comprehensive way of recognizing,
responding, and analyzing risk that may hinder the achievement of the project's objectives.
A risk management plan is important as it will help identify risks and analyze improvements of
the construction project of installing an angiography system to use available resources better
(Szymański, 2017). Installing an angiography system can be difficult and full of many
uncertainties. Uncertainties and risks associated with installing these systems can have
devastating effects during the project; hence risk management and analysis continue to be one of
the main features in the project of construction projects in dealing with unexpected events and
uncertainties that may hinder project success. A construction project involving installing an
angiography system may include many participants whose interests may be negatively or
positively influenced by project completion or execution. The many participants, usually with
diverse knowledge and skills, may have various interests and expectations, which naturally
brings about challenges and confusion to the best-exposed contractors and project managers.

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Costs of risk is a key concept to consider as it is one of the main expense items during the
construction project.
Project management plan
Risk identification and risk categories.
Risks will be identified from various sources, and Some risks will be identified before the project
kick-off because they are pronounced. Some of the risks that will identified before the hospital
construction project installing Artis Pheno siemens are health and safety risks. One of the health
and safety risks is Coronavirus disease. Coronavirus may spread from one person to the other if,
for example, a worker installing angiography system is positive. Others will be identified during
the lifecycle of the project by any individual associated with the project. An example is a
technical risk, which addresses that the technology used in installing an angiography system will
not meet the expected project goals and objectives. Some of the risks will be due to external
influences that will be uncontrollable by the project team, while others will be inherent to the
project. These are economic risks, natural risks and political risks. When there will be changes in
the market conditions, the installation of an angiography system will become expensive. Natural
risks factors such as earthquakes and floods will damage the angiography system. Political risks
involve changes in government policy or political environment. A hospital construction project
will be unsuccessful if political risks such as workers and war strike occur.
There are privacy risks whereby workers leak information about installing the angiography
system to the irrelevant authorities. Governance risks may also emerge whereby the hospital will
be unable to meet the health regulations of the workers as outlined in the Occupational Safety
and Health Administration (OSHA). The workers will be exposed to dangerous chemicals

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associated with installation of angiography systems. Operational risks will also be identified
where their maybe delays of deliveries or production maybe affected because of the employees
involved. Legal risks will also be expected because accidents occur during constructions and a
worker ends up getting hurt. Legal risks will also occur if contractors disagree on their
obligations. Installation of the angiography system project manager will have the responsibility
of managing risks associated with the project. Project team members will be given specific
responsibilities which they are to report the project controller.
Risk strategies
It is the responsibility of a project manager to foresee risk, estimate effects and give responses to
risks that may arise and document them in a risk management project plan. One of the main
components that the project manager will incorporate in the plan is the risk management
strategies (Szymański, 2017). Risks will have either positive or negative impacts on the project.
The project manager will be expected to come up with different strategies of dealing with
positive and negative risks. Some of the strategies that would be used to manage negative risks
when installing angiography system include avoidance, transfer, mitigation and acceptance. In
avoidance the project manager will be expected to eliminate the risk by eliminating the cause
(Hillson & Simon, 2020). This means that the activity will be done differently or the manager
will change or do away with the objectives that would lead to troubles. Some threats will be
avoided through prior collection of data and information by enhancing communication between
the manager and the stakeholders. The manager will therefore substitute the scope or extend the
schedule. Installing angiography system may be hazardous and if a risk identified may lead to
loss of life the project will be shut down. The approach of transfer will lead to shifting of a risk
to a third party like insurance which will be paid to accept the risk on behalf of the hospital. The

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hospital will be required to pay a risk premium and will also sign contracts to shift liabilities of
risks to the insurance.
A risk transfer will not eliminate risks involved with installing angiography system but would
minimize the direct effects of the threats on the project. Some the tools that would be used in
transference are warranties, performance bonds and insurance policies. Mitigation would be an
approach that the manager would use to minimize the probability of incidence of a risk. The
principle of mitigation is that it is cheaper to make prior prevention to minimize the effects or
probability of risks rather than fixing a risk. The manager will be required to manage the risk
level by coming up with a prototype development. If it will become impossible to target the
probability of the risk, the manager will recognize linkages that regulate the seriousness of the
risk. In acceptance the project team members will be forced to accept the risk because there will
be no other available strategy to do away with the risk. Acceptance would be passive where the
risk would be documented and the members will be forced to handle the risk as it will occur.
Acceptance would also be active whereby members will design a contingency reserve to
recuperate loses of resources, time and money.
Some of the positive risk management strategies that will be used include exploitation, sharing,
enhancing and acceptance. Exploitation rises the probability of making a productive risk occur
and this will lead to a better opportunity. If the team identifies such a risk, they will assign
efficient and sufficient resources to benefit from the risk. This is an approach that will reduce
uncertainties related to positive risks by making sure the risk occurs. Sharing is an approach in
which the project team members will be unable to take advantage of an opportunity and they
may involve another hospital to partner with them. The expertise of the hospital involved is a
leverage to extend the return out of an opportunity. Sharing opportunities will enable the

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hospitals involved gain in relation to their actions and investments. Enhancing is an approach
that involves maximizing the probability in which a risk will occur and extending its effects. The
team members will recognize and influence the diverse risk triggers. One of the ways the
members will enhance an opportunity will be adding more assets for activities to run faster and
the project to end earlier. In the approach of acceptance, the members will not actively pursue a
risk but will take advantage of the positive risk if occurs.
Methodologies
Since risks will be inherent project team members will be required to identify the best risk
management techniques and tools when planning for the installation of angiography systems.
Brainstorming will be one of the best techniques to evaluate the risks that will affect the project.
This begins with the team members studying historical data, analyzing the project documentation
and examining over articles of similar projects. Once team members will have done their
research, they will begin brainstorming together to see who will have an insight. Another way to
assess the essence of the project is the root cause evaluation whereby team members will identify
basic risks associated with the project. This tool will enable good management of the project in a
preventative and responsive manner. This tool will be used after a problem has emerged and will
address its causes. Another tool that will be used is the risk register which will recognize and
describe the threats associated with the project.
A risk register will then explain the potential effects of a risk to the installation of angiography
system and the planned reaction of dealing with the threats if it occurs (Keshk et al, 2018). There
will be five ratings evident in the risk register after an estimation. They include catastrophic,
critical, moderate, minor and negligible. For each of the impact categories, there will be
consideration of areas such as cost, scope, schedule, and performance. Probability and effect

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matrix is another tool that project managers will use to prioritize risks that will occur during
installation of angiography system. This tool will prevent time wastage and promote better
management of resources by combining the probability and effects scores of each risk and
categorize them in terms of their seriousness.
Risk responsibilities
The stakeholders of the project will share responsibilities in managing risks associated with the
installation of the angiography system. However, the manager will be in charge of deciding
whether to proceed with implementation of contingency actions and mitigation strategies. The
manager will also be responsible for informing, funding bodies about contract modification. All
project stakeholders will be responsible of risk recognition, risk evaluation and risk response
option recognition. The manager will also be responsible for risk registry, risk reaction consent,
risk contingency planning, risk response monitoring and risk reporting
Risk assessment
Risk assessment, also called “cause and effect analysis” refers to the act of discovering the
chances of a risk to take place and the effect it would have in case it occurs (Serpell et al, 2015).
The event that is likely to occur is the "cause" while the "effect" refers to the project's possible
impacts. There are two factors involved in the assessment of risks. First is an estimate of
certainty that an event would happen. The angiography installation project probability will be
recognized as frequent, likely, occasional, seldom or improbable. If the probability of a risk is
frequent, it will occur continuously unless measures are taken to change events. If measures are
not taken to prevent coronavirus during the project, the risk will occur continuously. If the
probability is likely, the occurrence is less frequent if the process is corrected. An example is

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social, governance and legal risks, which includes the safety and health of stakeholders. Issues
are also identified with minimal audit activities. If the probability is occasional, the risk will
occur sporadically, and potential issues are discovered during a review.
If the probability is seldom, for example, political risk, the risk is not likely to occur, and there
will be less focus on the risk during a review. If the probability is improbable, the risk has higher
chances of failing to occur, for instance, natural risks. Another factor to consider is an estimate
of the impact of the project, which should be quantified. The most common factors that will be
estimated are the duration of the possible delay, the estimated cost, the decrease in quality, and
the scope changes. These factors will be recorded in the risk statement and are evaluated using
project management tools
Risk response
If a risk will be identified, a response must be given. The project team must select a response to
every risk. Therefore, the members would need the best gauge of the risk and outline of the
options available to respond to every risk. Some of the ways to reduce risk probabilities are
avoidance, transference, mitigation, acceptance and defer (Tae, et al. 2020). For privacy risks,
the hospital will be protected by HIPAA, which means that team members will not be allowed
to share any information about installing the angiography system to irrelevant authorities.
Political, natural, and economic risks will be avoided by adapting, which means they will be
incorporated into the project. Healthcare risks such as COVID-19 will be avoided by ensuring
the safety of project team members. This includes having proper ventilation in the hospital and
ensure that all team members follow COVID 19 rules. Governance risks will be avoided since
the hospital will be inspected by OSHA which will ensure safety of workers (Jenkins et al.,
2019). Legal risks will be avoided if the hospital will include terms and language that will

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mitigate loses whenever they occur and do away with some risks. The manager will be required
to negotiate the best contract terms up front. In order to manage operational risks, the team
members will be required to manage equipment failures, retain good business to business
relationship, have enough insurance and understand health and safety regulations.
Funding
It will be necessary to study the cost of installing the angiography system hence members will be
required to look for the best approaches in fund matters and project management areas.
According to PMBOK guide the project will be required to have a sponsor who will be providing
resources for the project. The project will be required to have a charter, which is a document that
will allow Management Institute (PMI) the charter will give the project controller the permission
to apply required resources to activities involved in the installation of angiography system. Some
of the key inputs in the project charter will be installation of angiography statement of work
which will outline the hospital’s need, the hospitals strategic plan and its scope. The hospital’s
case input will provide important information that will be needed from a hospital’s standpoint. It
will be necessary to study the processes involved in budgeting, estimating and controlling cost
for the installation of angiography system to be completed on time.
According to PMBOK team members will be required to understand funding requirements and
expenditure levels to estimate the cost of installing angiography system (Petrovic, 2017). In
managing the hospital’s funds the processes of financial planning, financial control, records and
administration will be involved. PMBOK outlines the inputs of financial planning which include
source of funds, economic environment, contract requirement, risk factors, tax benefits estimated
construction cost and project duration (Petrovic, 2017). The sources of funds for installing

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angiography system will be the hospital’s main financing system which may include retained
profits or down payments made by patients. Funding for the project will also be direct through
bank loans and government entity loans. PMBOK outlines that the cost that will be used in the
construction of the hospital installing angiography system will be based on time projection and
the project duration.
Stakeholder risk appetite
The risk management plan will depend on the threshold, tolerance and risk appetite of the
stakeholders. Since risks will be opportunities or threats, it will be necessary to maximize the
effects of positive risks and minimize the occurrences effects of negative risks (Tae et al, 2020).
The strategy to be used will depend on the behavior of stakeholders. It will be necessary to
analyze threat attitude of stakeholders for the risk management plan to be successful. According
to PMBOK, risk appetite or risk hunger is the level of uncertainties unindividual or the hospital
is ready to accept in expectations of rewards. If the reward is high, some stakeholders will prefer
taking a high risk while others will be conservative.
PMBOK describes tolerance as identified range of allowable outcomes (Hillson & Simon,
2020). Tolerance describes how much risk stakeholders can withstand. Tolerance will show the
risk attitude of the hospital and the stakeholders. Since the installation of angiography system is
critical, the hospital will take risks. Risk threshold refers to the amount of risks that a stakeholder
or the hospital will accept. PMBOK describes risks threshold as the degree of subjection below
which risks are accepted and above which risks are addressed. Risk threshold will quantify risk
tolerance with specific figures.
Risk tracking and reporting

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It will be necessary to evaluate the success of risk mitigation processes. Risk mitigation will be
done as part of reviews and staff meetings. Risk tracking will give a feedback to other activities
involved in risk management. Risk tracking activities will require communicating risks to the
affected stakeholders, monitoring risks alleviation plans, reviewing status updates, tracking risk
status in the risk reporting matrix and informing project team on when risk mitigation plans
should be adjusted (Hillson & Simon, 2020). The project controller will be required to evaluate
the status of the plan throughout the life cycle of the project. It is important to design tracking
activities to provide prior warnings of a negative occurrence and the severity of its impact since
the consequences can exceed the estimated threshold. It will be necessary to re-examine risk
mitigation and risk assessment approaches because more data will be available to examine the
range of risk inherent (Szymański, 2017). The project team members will look for other options
of risks mitigations. Better technologies involving angiography system may emerge and new
commodities will become available.
The results acquired from risk tracking will be documented, reported and presented in a criterion
involving standard likelihood and impact screening method. A risk reporting matrix will be used
to determine the level of threats that will be recognized in the project. The risk reporting matrix
will involve three steps; determining the likelihood of a threat taking place through established
criteria which will be outlined in the risk management plan, examining types and levels of
impacts of individual risk and plotting the results of individual risk in the risk reporting matrix
(Hillson & Simon, 2020). The purpose of risk tracking and reporting will be ensuring that team
members gain information that will enable them make best and timely decisions.
Conclusion

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An efficient risk management process enables an institution to recognize and quantify risks and
find ways to contain risk and come up with risk reduction strategies. The hospital with the
project of installing an angiography system can manage risks efficiently and enjoy better success
rates even with new projects, greater productivity, and better savings. Risk management
involving a context in construction management is a systematic and comprehensive manner of
recognizing and reacting to risks to attain the aims and objectives. The hospital with the project
of installing the angiography system is similar to construction institutions in terms of how they
adapt risk management practices. For risks to be managed efficiently and effectively,
stakeholders must understand their responsibilities, risks preference, risk event circumstances,
and risk management capabilities. It is possible to improve the management framework for the
installation of the angiography system by using both quantitative and qualitative methods of risk
analysis.

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REFERENCES
Hillson, D., & Simon, P. (2020). Practical project risk management: The ATOM methodology.
Berrett-Koehler Publishers.
Keshk, A. M., Maarouf, I., & Annany, Y. (2018). Special studies in the management of
construction project risks, risk concept, plan building, risk quantitative and qualitative
analysis, risk response strategies. Alexandria engineering journal, 57(4), 3179-3187.
Petrovic, D. (2017). Risk management in construction projects: A knowledge management
perspective from Swedish contractors.
Serpell, A., Ferrada, X., Rubio, L., & Arauzo, S. (2015). Evaluating risk management practices
in construction organizations. Procedia-Social and Behavioral Sciences, 194, 201-210.
Szymański, P. (2017). Risk management in construction projects. Procedia Engineering, 208,
174-182.
Tae, C. M., Hung, P. D., & Huynh, L. D. (2020, February). Risk Management for Software
Projects in Banking. In Proceedings of 2020 The 6th International Conference on E-
Business and Applications (pp. 65-69).