Project Failure Files: Failures in Risk Management

In Episode 8 of the Project Failure Files weekly webcast, we discussed “Risk Management: Anticipating the Unforeseen,” emphasizing the critical importance of proactive risk management to avoid project failures. We shared a few real-world examples of projects that suffered due to inadequate risk assessment and poor risk management, illustrating the dire consequences of neglecting this crucial aspect.

My co-host Sharon Weaver (@sharoneweaver) and I shared practical solutions and strategies for effective risk management, discussing various robust practices, such as identifying potential risks through organized approaches like brainstorming and surveys, analyzing the likelihood and severity of risks, and developing comprehensive response plans. We highlighted the importance of prioritizing risks, assigning ownership to specific team members, and maintaining regular monitoring and reviewing processes. Clear communication with stakeholders, considering potential opportunities alongside threats, and developing contingency plans were also emphasized as vital components of a robust risk management strategy.

Lastly, Sharon and I stressed the need for involving stakeholders throughout the risk management process to gain valuable insights and ensure a comprehensive approach. We always advocate for creating detailed risk management plans that include risk response strategies and tolerance analysis. Sometimes, accepting a risk might be the best option if the cost of addressing it is too high. We concluded the segment with a call for project managers to implement these strategies to enhance their risk management skills, thereby reducing or mitigating inherent risks in their roles. Enjoy the episode!

Be sure to tune in next Monday, August 12th at 9am Pacific for Episode 9 of this weekly series as Sharon and I discuss “The Illusion of Control: Micromanagement vs. Empowerment.“ Join us on LinkedIn.