Risk Management: Don't Become a Casualty

 

Over the weekend the local Harley-Davidson dealer put on their first big group ride of the year. 800+ bikes made the trek from Salt Lake City down to the old mining town of Eureka, UT. The mines are all played out down there and the town is all but a ghost town these days, but it was a fun excuse to spend the day on the bike and hang out with my friends. It was particularly fun because my daughter wanted to go with me me.

I decided when I first started riding that a helmet would be part of the deal every time I got on the bike. Riding a motorcycle is inherently more dangerous than driving in a car, so I always wear a helmet and the other necessary safety equipment like a jacket, boots and gloves every time I ride. When my daughter decided that she wanted to go on this ride, I made sure there was a helmet that fit and the appropriate jacket for her to wear during the ride. Although I don't intend to crash, it just doesn't make sense to be unprepared.

Unfortunately, with 800 or so riders, there are a lot of less-experienced riders on the road—and although the accident was minor, one of them took a turn to fast (or at least wasn't able to make the turn safely) and left the road and wound up on her back in a farmers field. I heard later that she had a pretty nasty case of road rash, but was otherwise OK. She didn't have a jacket on or a helmet from what I could see. My daughter commented on her lack of safety gear and thanked me for making sure she was prepared in the event we had an accident. Fortunately, we had a fun and safe day in the saddle.

Not unlike riding a motorcycle, projects are a little riskier than most work. Planing for risk is an important part of making sure projects complete successfully. Even though there is an increased level of risk associated with riding the motorcycle, I don't intent to stop riding, but I do try the best I can to prepare for and mitigate the risk.

Here are a couple of suggestions that might keep your project from becoming a casualty:

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?