Risk Management
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The specific tasks and milestones required for the project plan
I will lay down the milestones as described below. The measure of success will be to achieve the results as per milestones without compromise on quality. The milestones are as follows:
Activity
Duration
Start
Resource
Understand Objective of Online Sales Management Program
2 days
10/6/07
12/6/07
Understand Organizational Context
2 days
13/06/2007 8:00:00 AM
14/06/2007 5:00:00 PM
Business Analyst
Understand the history of the problem
2 days
15/06/2007 8:00:00 AM
16/06/2007 5:00:00 PM
Business Analyst
Prepare Implementation Proposal
3 days
17/06/2007 8:00:00 AM
19/06/2007 5:00:00 PM
Business Analyst
Identify the team to work on the Implementation project
3 days
20/06/2007 8:00:00 AM
23/06/2007 5:00:00 PM
Business Analyst
Discuss Implementation Budget and Schedule
3 days
24/06/2007 8:00:00 AM
26/06/2007 5:00:00 PM
Business Analyst
Develop Implementation Project Charter
26/06/2007 8:00:00 AM
26/06/2007 5:00:00 PM
Business Analyst
Approval from the Project Sponsors
3 days
27/06/2007 8:00:00 AM
29/06/2007 5:00:00 PM
Project Manager
User Requirements / Analyze Situation
6 days
29/6/2007 8:00:00 AM
3/7/07
Discuss requirements with Users
3 days
4/7/07
6/7/07
Business Analyst
Understand and document user needs
11 days
7/7/07
17/07/2007 5:00:00 PM
Business Analyst
Preparation and approval Requirement Specification for program
2 days
18/07/2007 8:00:00 AM
19/07/2007 5:00:00 PM
Business Analyst
Design / Customize Online Solution
40 days
20/07/2007 8:00:00 AM
30/08/2007
Approval of Online Program
2 days
31/08/2007 8:00:00 AM
1/9/07
Project Manager
Training / Acceptance of ERP Solution
6 days
1/9/07
6/9/07
Develop User / Training Manual
1 day
6/9/07
6/9/07
Admin Asst
Train Users
3 days
7/9/07
9/9/07
Business Analyst
Approval of Solution Implementation
1 day
10/9/07
10/9/07
Project Manager
Task cost estimates
To complete a project successfully the project must be broken down into its component parts then assign personnel and resources necessary to complete each task. I have listed and organized the tasks, highlighting a reasonable amount of time. Responsibility for completion of each is the responsibility of the team member to which is has been assigned. Task assignments have been clearly documented in the project plan as well as the expected duration of each task. (Risk Management Plan, 2005)
Human resources and overall project costs
INITIAL COSTS
Online Programming costs
$80,000
Upgrade of Hardware
$70,000
Server cost
$3,500
Developer/Business Analyst ($165/hr) $200 $33,000
Employee Training ($27/hr) 30hrs
$8,100
Total
$194,600
ONGOING COSTS (ANNUAL)
Software support fees $2,500
Server maintenance and repair $1,500
Reports development costs $190,000
Total $194,000
SAVINGS/GAINS (ANNUAL)
Production turns improvement (from 15 – 5%) $1,000,000
Raw materials cost due to better reporting/forecasting $1,200,000
Total $2,200,000
Five specific project risks (including size of the project and context within the organization) that could arise as the plan is implemented and assessment of each risks impact on project outcomes
Risk management process plan will include:
* Identification of the risk
* Analysis of the risk
* Response plan related to the risk
There is always risk involved in projects as there are many unknowns and human factors that come into play that might have an impact on a project. A thorough review and documentation of the risks involved, group think sessions to analyze the risks, and the development of a plan to manage the risks is vital for a project to be successful. This plan will assist in keeping the project on time and within budget targets.
Identification and analysis of risk
Internal risks
Mission and Goals
Project fit to organization
Online sales management program will help in increasing the productivity of sales and improving the customer delight. Thus it has low risk regarding the mission of the project as it directly supports organization mission and goals.
Significant work flow
It has high risk as it will significantly change the work flow to the online management of sales.
Management support
Its risk is low
Customer perception
Its risk is low as the customer expects this organization to provide the product.
Project objectives
Medium risk
External risks
Use of Attractive Technology
Low as technology is readily available.
Low political risk.
Schedule risks