Another area of concern is research and development process. There are of course many problems, for example, the project may soon be made obsolete by technical developments, or a change in taste by consumers or a competitor's new ideas; the policy of the company could also change. Vast amounts of money may be spent on research and development but the projects can be later cancelled. This problem is closely connected with funding and lack of resources on further R & D (Marrison 2002).
Staff changes can threaten the project and lead to information disclosure and lack of security issues. Staff is the key to all security measures and is the most vulnerable aspect of IT security issues. Most frauds require an operative in another organization or collusion with existing employees. Segregation of staff duties and accurate documentation of programs is essential. The strict control of operations is vital, especially where satellite devices are connected to a central processor, allowing easy access to information. Physical plant security issues are connected with bomb threat, breaching of security barriers and lack of control and monitoring facilities (Frame 2002).
As the needs of the organization change, managers can contract with external vendors to perform specialized services that the organization cannot perform internally. Still, in come cases vendors can deliver low quality spare parts and raw materials which create a risk for the project and schedule. It is important for the project management to agree all deliveries and specifications with vendors in order to avoid delays faults issues and delays. Suppliers should continually monitor product requirements, factory scheduling, and commitments of their customers against their own schedule to ensure that enough inventory will be available. Once these systems are in place and working smoothly, their efficiency and convenience may help discourage the vendors' customers from switching to competitors. Quality also includes project specific items related to health, safety and the environment. Clearly, these will vary significantly between types of project but, lack of the overall project plan and quality criteria can affect the health, safety, ecological and environmental issues (Frame 2002).
Legislation and codes of practice lay down rules which govern patterns of behavior and environmental issues, but some changes in legislation, state regulations and compliance issues can create a real threat for the project plan and its success. Limitations in the supply of resources, e.g. oil and minerals, are making organizations more careful about planning for resources. The need to give purchasing decisions more attention is slowly growing in strength, considering that in manufacturing industry more than half of the amount of sales turnover is the cost of purchasing goods and services. Changes in the market can affect material specifications and operation schedules. The physical limitations of production capacity must be known so that orders are not accepted if they cannot be produced on time. People involved in delivering these projects need a blend of skills to cope with the uncertainty inherent in the management of such projects. Price fluctuations are not likely to be so important, but there can be little gain if prices fall