Describing sources of resource risk.

High school
Assignment
Information Technology
Pages 2 (502 words)
Download 0
The project management institute (PMI) defines project risk in its Project Management Body of Handbook (PMBOK) as “an uncertain event or condition that, if it occurs, has a positive or negative effect on at least one project objective, such as time cost, scope, or quality. A…

Introduction

There are various resource risks which have been identified by equally different researchers. Ribeiro (2009, pg. 18) identified five different types of resource risks this he identified as, financial resource risks, human resource risks, supply risks, quality risks and risks associated to the project environment. Kendrick (2009, pg. 105) came up with three predominant groupings of resource risk, these being human resource, outsourcing and money or financial risk. However, the widely accepted sources of resource risks are organization, funding, people, time and suppliers as well as time.
People as a source of risk may be defined as the risk of not meeting project requirements due to improper human resource management, motivational issues and fraud (Shimpi, 1999; Mubarak & Mubarak, 2010, pg. 198). It involves the project management having concerns about the availability of enough people to complete the project, availability from the staff of the necessary skills and experience and the belief in the project success by the staff.
Some of the underlying concerns related to people as a source of risk include, conflict among staff members and lack of or scarcity of certain required skill from the staff and the lack of essential collaboration due to unforeseen events such as job change by project-critical personnel, or lack of project-critical expertise (Reardon, 2006, pg. 116).
However, in order to avoid resource risks related with human resource, there is the need for proper planning and credible scheduling of the work well in advance. A histogram analysis of resource requirements will also prove to be of importance in identifying possible staffing needs a project may face.
Outsourcing or supplier risks result from the use of people and services outside the project team. It accounts for more than a quarter of the resource risks (Kendrick, 2009, pg. 108). It includes delays such as when a supplier fails to complete an outsourced task on schedule.
Some common ...
Download paper
Not exactly what you need?

Related papers

Network Security Risk Assessment
This paper gives a critical analysis and discussion of Fast Distribution, Inc. with a view of investigating its information assets, organizational risk, security posture and problems which leads to the recommendation of the ways that can be implemented in order to mitigate the information security problem within the organization. Organizational Assets Fast Distribution, Inc. has both human capital…
Software Risk and Risk management Failure.
The risks that pose a threat due to some physical or structural flaw or damage are relatively easier to mitigate and eliminate as their causes are easily found. But certain risks are faced on routine basis and people become so used to them that after a while these risks stop being taken as a threat. Also certain risk handling situation depend upon the person facing the risk his decision at that…
identifying and describing how information is used and how it flows in an organization
In present day organizations, computers are the main feature in information processing, where they influence the decisions made, the available information at the time of decision making and when decisions are arrived at. The role of information in organizations is evident in the way they spend as much on systems that aid in business information manipulation as they do on equipment used in direct…
Describing sources of resource risk.
There are various resource risks which have been identified by equally different researchers. Ribeiro (2009, pg. 18) identified five different types of resource risks this he identified as, financial resource risks, human resource risks, supply risks, quality risks and risks associated to the project environment. Kendrick (2009, pg. 105) came up with three predominant groupings of resource risk,…
Information Security Risk Management
Organization face internal as well as external actor, which create uncertainty for organizations in achieving the objectives. Hall (2010) called that the risk management was a hybrid function that had bridged the number of disciplines to reduce or avoid loss for organizations. Proactive activities are attempted to mitigate or prevent loss in the organizations.…
Risk Management
These risks are then incorporated in the bones of the “fish” (Lin, 2009). This is effective as it assists the person carrying out the analysis understand the critical threats that exist and thus work to eliminate all the risks starting with these ones. This method is effective in reducing the running costs because there is the prior identification and elimination of the risks.…
IT Project Risk Management
Additionally, efficient and successful project management requires effective management of all avenues that bring uncertainty into the project. The paper is structured into phases that outline how project risk management typology can be achieved effectively. The phases include the define phase, focus phase, identify issue-phase, Structure the Issues phase, Clarify ownership phase, Estimate…