INMGT-475/675 – Adv. Project Mgt. – Assignment 7 – 40 pts.
INDIVIDUAL ASSIGNMENT
Objective
This assignment is intended to address and provide practice for
Course Objective 4 – Evaluate project risk using quantitative methods.
Reference
Textbook – Nicholas & Steyn – Ch. 11
Risk Assessment Calculations.docx, formulas are listed on this document
Risk Exercise examples and answers from Nicholas textbook, see Risk Content
Risk Register Template
Assignment
Submit the assignment in Word or Excel document to the appropriate Dropbox. Show calculations to earn full points. Correct answers submitted without calculations will earn 1 pt. only.
Risk Likelihood (3 pts.)
A product improvement project involves an existing product (M), with minor complexity (C), and is dependent for schedule on an existing system (D). (reference Risk Assessment Calculations document, Likelihood table).
Consider that criteria are weighted as follows:
M is (0.5), C is (0.3), D is (0.2)
Calculate the Composite Likelihood Factor (CLF).
Risk Impact (3 pts.)
A product test failure is expected to have a minor impact on overall technical performance and be correctable within 2 months at a cost of 10 percent. (reference Risk Assessment Calculations document, Impact table).
Consider that criteria are weighted as follows:
TI is Moderate (0.5), CI is Minor (0.3), SI is Low (0.2)
Calculate the Composite Impact Factor (CIF).
Risk Consequence Rating (1 pt.)
Using the previous problems #1 Risk Likelihood (CLF) and #2 Risk Impact (CIF), calculate the Risk Consequence Rating (RCR).
Case 10.3 The Nelson Mandela Bridge (13 pts.) – Answer Question 2 (7 pts.) and Question 3 (6 pts.).
Risk Registry (20 pts.)
Create a Risk Registry for the four (4) major risks identified in the Nicholas & Steyn textbook, Example 11.6: Managing Schedule and Cost Risk at Vancouver Airport. Much information is given.
Complete the Risk Registry table/matrix below using the format of the Risk Registry – Example: Table 11.5.
For each of the 4 Risk Sources, complete the following (5 pts. for each risk):
Indicate the Functional Area Impacted (ie. Site Operations, Procurement, Material Handling, OTS (Off-the-Shelf) Components/Technology)
Estimate a Risk Impact value
Estimate a Risk Likelihood value
Calculate the Consequence Rating
State the Effect on Project if Risk Source Materializes
State the Action to Mitigate or Eliminate Risk
Risk Source or Condition
Functional Area Impacted
Risk Impact (1-5)
Risk Likelihood (%)
Consequence Rating
Effect on Project if Materializes
Action to Mitigate or Eliminate Risk
Structural Steel Delivery & Erection Risk
Material Handling Risk
Environmental Risk
Functionality Risk
AdvPM Assign 7 Risk