how to generate and scan barcode in asp net using c# 11: Project Risk Management in Software

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11: Project Risk Management
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1 Plan Risk Management Process
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The first process in the Project Risk Management knowledge area is risk management planning The Plan Risk Management process involves deciding how to approach, define, plan, and execute the risk management activities for the project As with many other processes, this one is definitely a team sport With this process, the more stakeholders you have involved, and the earlier in the life cycle the better Key players such as the project manager, sponsor, team, customer, and subject matter experts should take part in the planning process The amount of time spent and the number of resources involved in this process will vary based on a number of variables, such as the priority of the project, the overall size and complexity of the project, and the potential impact to the company, team, or community
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You might see a question on an exam someday that goes something like this: The highest level of risk is encountered during which process group (or which phase of the project) Answer is the Initiating group The earlier you are in the project life cycle, the higher the degree of uncertainty and the higher the risk
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Risk Categories (or Sources of Risk)
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There are several categories of risk (sometimes referred to as sources of risk):
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Internal Risks inside the project or organization (staffing/resource availability, other constraints, changes to the project, lack of proper planning, and so on) External Risks outside the project team or organization (environmental factors, regulatory agencies, weather, shift in consumer demand, and so on) These risks can be predicted or unpredicted (see Table 11-1) Technical Risks due to changes in technology, system upgrades, configuration, infrastructure, and support Unforeseeable Even though most risks can be identified, there is always a small percent (approximately 10 15 percent) of risks that cannot be predicted External Unpredictable
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Government or regulatory compliance Unusual natural disasters Vandalism and sabotage Political unrest and labor strikes Supplier availability (bankruptcy, mergers, and so on)
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External Predictable
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Market risks Operational risks Environment impacts Inflation or currency exchange rates Taxes
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Table 11-1 External Risk Examples
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Another way to help identify or categorize risk is by source Looking at risk from its source (from the customer, supplier dependencies, poor working conditions) might help you align the risk specifically with the potential impact to your project (cost, schedule, scope) A risk may also cross categories; for example, a lack of skilled resources can affect cost, quality, and schedule The bad news about risk is the ripple effect an event can have both inside and outside the project The ripple effect can be felt both upstream and downstream from the project and can impact the team, customer satisfaction, milestones, delivery dates, and so on During the planning process, you must understand that risks are either known or unknown Risks that are known are those you can identify from previous projects or from common sense Bird strikes, for example, are a known risk for the airlines They do happen, and frequently Therefore, airlines plan for this risk and train how to recover when it occurs In the United States, the Great Flood of 1993 caused a number of levies to fail in Louisiana This was a known risk Agencies had performed Monte Carlo computer simulations (explained in more detail later in this chapter) and hundreds of what-if scenarios, but the planners determined that it would take a perfect storm (multiple events with high intensity) for such an event to happen Well, it happened The following is from The Great USA Flood of 1993 by Lee W Larson: The magnitude and severity of this flood event was simply over-whelming, and it ranks as one of the greatest natural disasters ever to hit the United States Approximately 600 river forecast points in the Midwestern United States were above flood stage at the same time Nearly 150 major rivers and tributaries were affected [ ] Tens of thousands of people were evacuated, some never to return to their homes At least 10,000 homes were totally destroyed [4] There will always be risks that catch us by surprise They are considered to be unknown risks and are usually events that haven t happened before or were not even considered during the planning process Because risk happens, we should plan for both the known and unknown risks This involves going into the planning process (brain storming session) open-minded and think of things that can go wrong, both inside and outside the box Unknown risks cannot be managed proactively, which means the project team should create a contingency plan an estimated budget amount (often referred to as management reserves ) that is usually held outside the project budget at the management or government level An example is the Federal Emergency Management Agency (FEMA) emergency funds
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