Introduction to Project Management

1. Introduction to Project Management Managing Project Risk Lecture a This material (Comp 19 Unit 7) was developed by Johns Hopkins University, funded by the Department of Health and Human Services, Office of the National Coordinator for Health Information Technology under Award Number IU24OC000013. This material was updated in 2016 by Johns Hopkins University under Award Number 90WT0005. This work is licensed under the Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License. To view a copy of this license, visit http://creativecommons.org/licenses/by-nc-sa/4.0/.

2. Managing Project Risk Learning Objectives—Lecture a • Assess project risks. • Plan project responses. • Prepare and maintain a risk register. • Develop and execute a risk management plan.

3. What is Risk? • Risk: the effect of uncertainty on objectives* • Positive risk: opportunity to enhance project’s success • Negative risk: threat to project’s success * International Organization of Standards

4. How does risk impact the PM process?

5. Managing Risk Proactively • Recognize that you can’t control everything • Plan for the things that you can exert some control over • Continuously plan, monitor, control

6. How to Manage Project Risks • Develop a risk management plan • Identify risks • Certainty • Uncertainty • Perform qualitative risk analysis • Perform quantitative risk analysis • Develop and implement risk response plans • Create and maintain a risk register

7. Outputs from Processes

8. Developing a Risk Management Plan • Led by project manager • Supported by project stakeholders • Input from: • Project scope statement • Budget • Schedule • Communications management plans • Environmental factors • Organizational process assets

9. Risk Management Plan—Contents • Definitions of risk for the organization • Probability and impact matrix • Revised stakeholders’ tolerances • Reporting formats • Tracking • Roles and responsibilities • Methodology • Budgeting • Timing • Risk categories

10. “Identify Risks” Process Purpose • Identify and document potential risks that can impact a project How to identify project risks • Review project plans and documents, analyze assumptions, and review lessons learned from previous projects • Engage key stakeholders in team meetings and use information-gathering techniques to obtain risk information from them Creating a risk register • The risk register contains information such as identified risks, probability of occurrence, impact of occurrence on project objectives, risk owners, proposed response strategies, and current status

11. Typical Risk Categories Technical • New technology? • Interface complexity? Organizational • Funding uncertainty • Staff availability • Distributed Responsibilities External • Supplier bankruptcy • Global economy Project Management • Inadequate planning? • Poor resource allocation?

12. Managing Project Risk Summary— Lecture a • Risk management: identify, assess, and respond • Definitions and concepts • Processes • Materials

13. Managing Project Risk References—Lecture a—1 References Health Information and Management System Society. (2010). Chicago, IL.. Available from: www.himss.org Houston S, Bove LA. (2010) Project Management for Healthcare Informatics. New York: Springer Science + Business Media, LLC. Kerzner H. (2009) Project Management: a Systems Approach to Planning, Scheduling, and Controlling. 10th ed. Hoboken, NJ.:Wiley.   Project Management Institute, A Guide to the Project Management Body of Knowledge. 4thed (2008).Newtown Square, PA: PMI. Scwalbe K. (2009) Information technology project management (with Microsoft Project 2007 CD-ROM). 6th ed.; Boston: Cenage Learning. Stackpole C. (2009). A Project Manager’s Book of Forms: A Companion to the PMBOK Guide. Hoboken, N.J.:Wiley; Wysocki, RK . (2009) Effective project management: traditional, agile, extreme. 5th Edition. New York: Wiley; 2009.

14. Managing Project Risk References—Lecture a—2 Charts, Tables, and Figures Table 7.1  Outputs from Processes. Table courtesy Theron Feist, Johns Hopkins School of Nursing Staff. Images Slide 4: Knowledge Areas, Image courtesy Theron Feist, Johns Hopkins School of Nursing Staff

15. Introduction to Project ManagementManaging Project RiskLecture a This material (Comp 19 Unit 7) was developed by Johns Hopkins University, funded by the Department of Health and Human Services, Office of the National Coordinator for Health Information Technology under Award Number IU24OC000013. This material was updated in 2016 by Johns Hopkins University under Award Number 90WT0005.