A recent article on risk management provokes a response from a 30-year veteran of large, complex programs. Here, he offers his thoughts on why projects can never be protected from risk but absolutely require official risk management processes, and suggests some further reading.
Daniel Starr recent article on risk management — “Let’s Be Careful Out There” (Oct. 25, 2007) — was interesting and thoughtful, but it seemed to miss the point of why to do risk management on projects. Daniel states: “A project's ‘armor’ is there … to guard against accidents and mistakes…” Daniel’s concepts of “risk” and the “management of risk” seem a bit out of place for the standard risk management process I use, particularly with the concept of “protection.” Here’s an approach to introducing risk management that has served me well over the years that may be useful to our readers.
When we say we are “project managers,” it seems obvious that the noun and verb are connected — manager and project. We “manage” things called “projects.” But what does it mean to actually manage a project. Some would conjecture that projects can’t really be managed, or that projects emerge from the primordial soup of a business. But let’s