Potentially Catastrophic Risk Can Spoil an Otherwise Beautiful Day

 

I recently succumbed to a years-long urge to purchase a motorcycle. Without getting into the details, I'm having a fantastic time cruising around the countryside with the wind in my face and experiencing the direct connection with the road. On Saturday, we enjoyed a beautiful mountain road through the trees, leaning our bikes into the "twisties" trying to wipe the ear-to-ear grin off my face (bikers are supposed to be cool). It was the perfect day for a ride.

The guys I ride with are pretty cautious on their bikes, as am I. I wear a helmet and other gear designed to help me ride safely, and make it a point to obey the traffic laws and ride responsibly. I realize that riding a nearly 800 pound motorcycle is inherently risky, so I am careful to mitigate as much risk as is possible. Unfortunately, there are many riders who aren't and often suffer the consequences.

Going over the top of the pass on Saturday, we noticed several cars stopped on the side of the road along with a riderless bullet bike. My guess is that the rider was going too fast or not paying attention and left the road on one of the turns. Without going into the details of this particular accident, ignoring the potentially catastrophic risk pretty much spoiled an otherwise beautiful day for this unfortunate rider.

Although you are seldom putting life and limb at risk leading a project team, projects are inherently risky things too. Risk aversion is a good thing generally, but I often wonder if it's a pipe dream to assume that you can eliminate all risk from a project. I have a friend who likes to say, "There are two kinds of riders, those who have put the bike down and those who will."

I wear a helmet, boots, a riding jacket with armor incorporated into the important places along with an alert and defensive attitude while on the bike. I don't intend to stop riding because of the risk, but prefer to do the best I can to prepare for it and mitigate it.

What are some of the things project leaders can do to avoid spoiling that otherwise beautiful day? Here are a couple of suggestions:

1. Identify the risks associated with the project before it's begun: All too often when projects are proposed, stakeholders are looking through rose-colored glasses. Although I think it's important (maybe even vital in today's economy) to look for projects that will provide potential value to the organization, ignoring the associated risks is very dangerous. If a project is presented for consideration and no risks are identified, that project sponsor should be introduced to a rather large river in Egypt.
2. Craft and follow a comprehensive mitigation plan: Although much of this work should be done before a project is approved, in the real world that doesn't always happen. What's more, it may be up to you to look at the identified risks and spend some brainpower on creating a reasonable mitigation plan. Considering a few "what if" scenarios is always a good idea. Engage the project sponsor in this process so that he or she feels a little skin in the game. Realize that you may need to do some education, as most project sponsors don't really understand their role and will need a little guidance.
3. Don't let risk paralyze you: Sometimes it's easy to be so worried about risk that you never do anything creative. Avoid falling into the trap of doing what's "safe" to keep out of trouble. "Safe" can usually be equated with low value, which doesn't do any good for you or your project.

Let's face it, project management is risky. There is always something that could go wrong. Facing the risk up front is always the best strategy—put on your helmet, gloves and riding jacket, then get on the road and enjoy the ride.

How do you plan for and mitigate project risk?