MBA643: Risk Analysis & Mitigation Plan for Project Management Case

This case study provides a comprehensive risk analysis and mitigation plan for a project, focusing on a company expanding its operations across 28 states of the US. Part A introduces the project's aim, objectives, scope, budget, timeline, rationale, challenges, and stakeholders. The project aims to develop a strategic plan using project management tools and ICT platforms to manage communication between dispersed business units. Part B presents a risk assessment analysis, employing qualitative (interviews, questionnaires, surveys) and quantitative measures (sampling) to identify potential risks. A risk matrix assesses the likelihood and impact of various risks, including information security, skilled labor availability, resource management, ICT failures, and ethical concerns. Part C outlines a risk mitigation plan and strategy, emphasizing proactive measures to address identified risks, such as deploying cryptographic procedures, providing training, upgrading databases, implementing firewalls, and fostering open communication channels. The case study underscores the importance of managing critical activities, estimating costs effectively, and addressing employee resistance to change to ensure project success. Desklib offers a platform for students to explore similar documents and solved assignments.

Project Management Risk Assessment

Contents
1. Part A.............................................................................................................................................2
Introduction.......................................................................................................................................2
Project Aim........................................................................................................................................2
Project Objective...............................................................................................................................2
Project Scope.....................................................................................................................................2
Project Budget...................................................................................................................................3
Project Time......................................................................................................................................3
Rationale............................................................................................................................................3
Challenges.........................................................................................................................................3
List of Stakeholders...........................................................................................................................4
Conclusion.........................................................................................................................................5
2. Part B.............................................................................................................................................5
Risk Assessment Analysis:................................................................................................................5
Qualitative Measures.........................................................................................................................5
Quantitative Measures.......................................................................................................................6
Risk Matrix........................................................................................................................................6
3. Part C:............................................................................................................................................8
Risk Mitigation plan and strategy......................................................................................................8
4. References:..................................................................................................................................13

Case study: New Manufacturing facility goes online in record time
1. Part A
Introduction
The project is undertaken on the company which deals with beauty, household, and personal
care product. The company is expanded its branches throughout the globe. 28 states of the US
has been covered by the enterprise in providing the range of beauty products for the
consumers. The major challenge which the company face is to requires $ 60 million dollar for
opening a showroom in different regions to facilitate customer with effective service.
Project Aim
The aim of the project is to develop a strategic plan for the company with the use of Project
management tools and techniques for identifying resources required to achieve the strategic
goal of the enterprise, translation of the company action plan, and coordination of the
activities with the goal of the organization. The focus of the project is to build a
communication bridge between various business units of the organization which are widely
dispersed by making use of ICT platform.
Project Objective
The objective of the project is to define a unique program of activities to facilitate company
goal and mission and finding out the risks identification and mitigation plan for the
enterprise. The project is looking forward to resolve the complexity of the program with the
deployment of effective leadership and coordination among activities. The communication
bridge can be effectively developed by including the social media platform for the effective
working of the enterprise by collecting relevant information about various business unit
involved.
Project Scope
In-scope activities:
 Setting of the organization goal
 Transforming the action plan according to the organization vision and mission
 Setting of framework of policies to manage the supply of product at different location
 Risk identification and management plan
 Communication plan between internal and external parties

 Procurement management plan to manage the supply and demand of the product at
different site location for the smooth functioning of the project operation
 Effective Leadership style
 Completion of the project within approved budget and within time
 Integration with specialised manufacturing companies
 Deployment of ICT technologies
 Deployment of social Media platform for managing effective communication
Out of Scope:
 Creation of new job opportunities
 Reducing the overhead cost
 Increasing profitability of the enterprise
Project Budget
The approved budget of the project is $ 60 million dollar for setting out operational plan for
the enterprise to manage the expansion of the company across 28 states of US.
Project Time
The project should be completed within the period of 1 Year.
Rationale
The company is looking forward to increase their return on investment by expanding their
working unit across 28 states of US. The use of ICT technology helps in managing database
and record keeping system for the enterprise to manage information retrieved from different
business unit of the organization. The deployment of social media platform in the working
culture of the enterprise helps in providing the freedom to the employees to present their
views and grievances for maintaining the smooth functional program for the business units.
The effective communication between the working employees helps in managing the project
goal and objectives for the managing the operation plan of the enterprise (Passenheim, 2015).
Challenges
The challenges which the company faced due to the expansion of the business unit are to
manage effective communication techniques between site location of the organization,
limited funds for the deployment of operational centre, ineffective database unit, and other.

List of Stakeholders
Role Name Responsibilities
Project owner CV Raman Places the request for
expansion
Places the request of
maintaining communication
bridge
Database and recordkeeping
system for the enterprise
Project Manager R. Radhaswami Develops a project plan for
effective management of
communication, resources,
procurement, time, quality,
and cost
Project Sponsor V. Naydu Approve the required budget
for the implementation of the
project plan to achieve
business objective
Risk Manager R. C. Thomson Focues on identifying the
risks associated with the
project
Develop a mitigation
strategic plan for risks
Develops a risks register
Quality manager B.D. Buhalis Focuses on providing quality
services to the customers

Conclusion
The communication bridge can be effectively developed by including the social media
platform for the effective working of the enterprise by collecting relevant information about
various business unit involved. The project manager should develop a plan for the
deployment of the ICT technologies and social media platform for balancing the flow of
information and record keeping system for the firm.
2. Part B
Risk Assessment Analysis:
The analysis of the working procedure of the enterprise helps in predicting risks associated
with the transformation of the project to the new environment. The technical risks and change
in the organization culture are the major risks associated with the transformation of the
working structure of the enterprise (Vahidnia, Tanriover, and Askerzade, 2016). The
completion of the proposed project plan for deploying ICT technologies and social media
platform can affect the working operational plan of the enterprise due to the resistance shown
by the employees to change their traditional working and expertise. The productivity and the
capability of the employees get affected by initializing the new technologies because it
creates a feeling of insecurity with regards to job arises (System engineering guide, 2016).
The change in the organization culture with the new schemes of communication methodology
and technological framework raises the concern to proactively mitigate the risks associated
with the project plan (Bekefi, pstein, and Yuthas, 2008).
Qualitative Measures
Some of the qualitative measures which are used for collecting information related to the
risks associated with the working structure of the enterprise and how the change in the
business policies will affect the functionality of the program.
Interview: The face to face interview is arranged with project owner and the professional
expert to know the requirement of the organization change and how the funcitonlity and the
operational plan of the enterprise get affected.

Questionnaire: The arrangement of questionnaire session with the employees helps in
analysing their views about the use of ICT technologies and social media platform for
formulating effective communication plan for the enterprise.
Survey: The survey at the company site helps in collecting facts and figures related to the
operational plan and improvement required for achieving the project goal and objectives (EY
Pubication, 2012).
Quantitative Measures
Sampling: The sampling method is organised with one and the two units of the organization
to analyse the effectivenss of deploying ICT technologies and social media platform to
manage the communication between different units. During the course plan of sampling
methodology, we are able to analyse the risk factor which can adversely affect the growth of
the business unit (Michalko, Malpas, and Arcolio, 2010).
Risk Matrix
Business Unit Impact Likelihood Probability
Exchange of
information
Loss of
confidentiality of
data
Probable High
Unavailability of
skilled labour
Inefficiency in the
deployment of ICT
technologies and
social media platform
Possible Low
Arrangement of
resources on time
Inefficiency in
managing the supply
and demand of
resources which
lower down the
operational
efficiency and
customer satisfaction
level
Probable Medium

Failure of the ICT
technologies
Inclusion of cyber-
attacks, viruses, and
malwares
Highly Probable High
Management of data Inefficiency in
retrieving the data for
the management of
products
Possible Low
Rate of Interest Lowering of interest
rate due to the lower
satisfaction level of
the customers
possible Low
Communication Workers are not able
to show their inner
talent and expertise
Possible Low
Outsourcing of the
resources
The involvement of
the third party can
affect the working
and operational plan
of the enterprise
Highly probable High
Political Risk Legal obligation can
b associated with the
proposed project
Possible Low
Technical Risk Involvement of new
technology can create
a problem in
organization change
Probable High
Ethical Code of
conduct
Employees does not
show ethical
behaviour at work
place. The cultural
diversity of the
employees get
affected.
Possible Low
Change in Resistance of the Probable Medium

operational Plan employees due to the
change in operational
plan of the enterprise
Operational Risk The resistance from
the employees can
affect the working
structure of the
enterprise
Probable Low
Cost risk The over budgeting
of the activities is
major cause of
project failure.
Highly Probable High
Time Risk The determining of
the critical activities
plays an important
role in completing
the project plan
Possible High
3. Part C:
Risk Mitigation plan and strategy
The strategy should be developed for mitigating the risks associated with the deployment of
ICT technologies along with social media platform in the working curriculum of the
enterprise. This brings a drastic change in the operational plan of the enterprise. The
organization change is equipped with various risks which can be categorised as Exchange of
information, unavailability of the skilled labour, Arrangement of resources on time, failure of
the ICT technologies, Technical risks, legal risks, political risks, operational risks,
communication risks, outsourcing risks, and so on. The proactive strategy should be
developed to cope up with the long list of risks associated with the project proposal. The
effectiveness of the proposed project can be achieved by proactively planning the mitigation
plan for the risks to manage smooth functioning of the operational plan of the enterprise. The
determining of the critical activities in the initial stages of the project helps in completing the

project on time because the critical activities will be completed first because they can affect
the processes of the other scheduled activities. The completion of the proposed project plan
for deploying ICT technologies and social media platform can affect the working operational
plan of the enterprise due to the resistance shown by the employees to change their traditional
working and expertise. The management of the critical activities helps in delivering the
project on time without any delay. The proactive development of the cost estimation plan
helps in completing the project under budget because the estimated cost will be allocated to
every activity. The estimated budget is more than the actual budget spends in completing the
project activities.
Risk Identified Impact Risk Mitigation plan Impact
Exchange of
information
Loss of
confidentiality of
data
Use of cryptographic
procedures for
sharing of
information through
the network
management system
The confidentiality of
the information will
remain accurate
Unavailability of
skilled labour
Inefficiency in the
deployment of ICT
technologies and
social media platform
(Sirkin, Keenan,
Jackson, 2015)
Training and
development
program should be
arranged for
sharpening the skills
and expertise of the
employees
Efficient
implementation of
the ICT technologies
and social media
platform for effective
management of
communication
between network of
business units
Arrangement of
resources on time
Inefficiency in
managing the supply
and demand of
resources which
lower down the
operational
efficiency and
Upgrading of the
database on the basis
of information
received through
various business unit
with the use ICT
network management
Smooth functioning
of the operational
plan of the enterprise

customer satisfaction
level
system between
geographically apart
unit (Morris, 2013)
Failure of the ICT
technologies
Inclusion of cyber-
attacks, viruses, and
malwares
Deployment of
effective firewall sys
and anti-viruses and
anti-malware
software
Effective
management back up
data
Management of data Inefficiency in
retrieving the data for
the management of
products
Deployment of
database sytem for
managing files and
record keeping
system for the
various data unit over
the network
On time retrieval of
accurate information
Rate of Interest Lowering of interest
rate due to the lower
satisfaction level of
the customers
Providing of quality
services and product
to the customers
helps in raising their
level of satisfaction
and so as the
company profitability
ratio
Increasing return on
investment of the
enterprise
Communication Workers are not able
to show their inner
talent and expertise
Use of Social media
platform helps in
providing open
platform for sharing
their ideas and
opinion to resolve the
complex problem.
Flow of work and
information
Outsourcing of the
resources
The involvement of
the third party can
affect the working
and operational plan
Accurate information
in the database about
the supply and
demand of resources
Increasing
satisfaction level of
customers by
providing quality

of the enterprise at the site location
helps in managing
the demand
product with in the
delivery time
Political Risk Legal obligation can
be associated with
the proposed project
Good communication
with the
governmental
agencies helps in
resolving legal
obligations
associated with the
project functioning
Smooth functioning
of the operational
plan of the enterprise
Technical Risk Involvement of new
technology can create
a problem in
organization change
Training and
development
program made the
employees
compatible with the
use of new trends and
technologies
Increasing the
productivity and
capability of the
employees
Ethical Code of
conduct
Employee’s does not
show ethical
behaviour at work
place. The cultural
diversity of the
employees get
affected.
Training and
development
program for ethical
behaviour at work
place
Strong bonding
between employees
though they have
cultural differences
Change in
operational Plan
Resistance of the
employees due to the
change in operational
plan of the enterprise
Training and
development
program made the
employees
compatible with the
use of new trends and
technologies
(Gosnik, 2015)
Increasing the
productivity and
capability of the
employees
Operational Risk The resistance from Training and Result into smooth

the employees can
affect the working
structure of the
enterprise
development
program made the
employees
compatible with the
use of new trends and
technologies
(SMART< 2011)
functioning of the
operational plan
Cost risk The over budgeting
of the activities is
major cause of
project failure.
Development of the
cost estimation plan
before the
deployment of the
project (Embric,
2013)
The estimated cost
should be less than
the actual cost of the
project
Time Risk The determining of
the critical activities
plays an important
role in completing
the project plan
Development of the
project schedule
before the
deployment of the
project (Balley, and
Riffel, 2010)
Flow of activities
with the
determination of the
critical activities.
Conclusion:
From the research of the proposed project of the enterprise which is expanding its business
unit across US helps in determining the impact off organization change with the inclusion of
new trends and technologies in the business units for achieving the goal of the enterprise. The
determining of the critical activities in the initial stages of the project helps in completing the
project on time because the critical activities will be completed first because they can affect
the processes of the other scheduled activities.
4. References:

Balley, M., and Riffel, M. (2010). Understanding and mitigating IT project risks. Retrieved
from http://www.gfoa.org/sites/default/files/GFR_JUN_10_30.pdf
Bekefi, T., Epstein, M., and Yuthas, K. (2008). Managing opportunities and risks. 1st ed.
Retrieved from
http://www.cimaglobal.com/Documents/ImportedDocuments/cid_mag_managing_op
portunities_and_risk_march08.pdf.pdf
Embric. (2016). Detailed risk management plan. Retrieved from
http://www.embric.eu/sites/default/files/deliverables/D1.2_Risk%20Mgmt%20Plan
%20.pdf
EY Publications. (2012). External Risks. Retrieved from
http://www.ey.com/Publication/vwLUAssets/external-risks/$FILE/ey-insights-on-
GRC-external-risks.pdf
Gosnik, D. (2015). Extended model of managing risks in new product development project.
1st ed. Retrieved from http://www.fm-kp.si/zalozba/ISSN/1581-6311/9_015-037.pdf
Michalko, J., Malpas, C., and Arcolio, A. (2010). Research Libraries, Risks, and Systematic
change. Retrieved from
https://www.oclc.org/content/dam/research/publications/library/2010/2010-03.pdf
Morris, P. (2013). Research and the future of project management. Retrieved from
https://www.emeraldinsight.com/doi/abs/10.1108/17538371011014080
Passenheim, O. (2015). Project management. Retrieved from
http://home.hit.no/~hansha/documents/theses/projectmanagement.pdf
Sirkin, H., Keenan, P., Jackson, A. (2015). The hard side of change management. Retrieved
from https://hbr.org/2005/10/the-hard-side-of-change-management
SMART. (2011). Risk Identification, Management and Quality Plan. Retrieved from
http://www.gfoa.org/sites/default/files/GFR_JUN_10_30.pdf
System Engineering guide. (2015). Risk Mitigation planning, Implementation, and progress
monitoring. 1st ed. Retrieved from https://www.mitre.org/publications/systems-
engineering-guide/acquisition-systems-engineering/risk-management/risk-mitigation-
planning-implementation-and-progress-monitoring

Vahidnia, S., Tanriover, O., and Askerzade, I. (2016). An evaluation study of general
software project risks based on software. 1st ed. Retrieved from
http://aircconline.com/ijcsit/V8N6/8616ijcsit01.pdf