Risk Analysis – A Practised Part of Project Management.

Managing Challenges.

There is no forward progress without some sort of plan. When we start making moves towards future goals, we anticipate the good, the bad and the ugly.  This is called risk analysis and it is a necessary part of the process.

Big projects have this calculated into their costs, time management and outcomes. It’s preparing for unforeseeable situations that may or may not arise. Exploring a development from this angle allows us to accommodate for the weather, cost, materials, safety, damage and time-delays.

Tenders for the construction of buildings have weather and material delays calculated into their itemised figures. Each venture will have it is own unique dynamics and requirements.

When we break a plan up into small achievable steps we can apply risk analysis to these same phases. Never underestimate this process as simply calculating a few disappointments along the way. This part of the project prepares the mind for the unanticipated. It allows us to manage whatever arises, whether it was forecasted or not.

The wedding day is an example of a project divided into smaller tasks and time allocations. As the day draws near the bride takes on an enormous amount of pressure wanting to leave nothing to chance. For this very reason many a bride have been labelled Bridzilla. The expectation is for the big day to run smoothly.

Although everyone knows that even the best made plans have the potential to go astray. A wedding is fueled with many emotions. When something does not go according to plan, it’s like the bride has left and some crazy person has taken her place.

Had the Bride erased those emotions, acknowledging she had done all she could to ensure her special day would be memorable; she would have managed any issue without seeing it as a glitz in the system. The Bride had organised every last detail and without her even knowing it, she has applied risk management.

You speak with anyone who has planned for the unexpected, they will confirm they had researched and thought of every likely situation that could possibly go wrong.  Some even lost sleep over it and were scared witless with their imagination at work.

As the project progresses, none of what was anticipated occurred. Although there were problems requiring analysis and action that had not been calculated. These particular situations could not have been dreamed up even if they had used a crystal ball.

Introducing the imagination.

A part of my planning process is to allow my imagination to run away with an idea for a while. My dreams begin with optimism. Usually this is where I become some sort of hero who has saved many unfortunate souls. Then my vision will reverse and I become the villain, attempting to dominate world leaders. And then my mind will go in a completely different direction, where I fail or  I am humiliated or embarrassed.

Why do I indulge in such an activity? This creative part of my mind alerts me to my fears and shows me that I am aiming for a positive outcome. When my brain automatically day dreams about the project possibilities – this shows me my processors have already began. I may not have even picked up a pencil, typed a word about the project; discussed the idea out loud or with a team. But if my imagination is at work, I know I am invested in the project. But this serves only a small purpose.

This is not a waste of time. Some of what was imagined can be penciled into the risk analysis. This activity shows me the progressive possibilities and prepares me for some of the negatives. However once I begin this project I want to see it without my imagination or emotion. Now it’s time to apply the logical and practical component of the mind to the plan. Every part of my brain that requires stimulation has been accommodated.

Risk analysis reduces the impact of danger.

Please remain in your seats at all times.

When you are riding the dodgem cars the safety barriers are what stop you from escaping the allocated area or running over other people. There is heaps of potential for things to wrong inside this confined space. The signs placed around the arena say, ‘don’t leave your seat’.  You hear an announcement over the loud speaker repeating this.

One of the participants smashes into a barrier, they are unable to move and have to wait for assistance in order to reverse the car to start driving amongst the other lunatics. The helper is taking too long and this eager driver wants to get back to having fun.

The individual gets out to push their car away from the barrier. As they do, one car smashes into one side of his foot and another does the same on the other side.

Participants are advised not to get out of the car because risk of them being hurt is calculated. However people don’t always follow the rules to accommodate the danger.  The result can often be human error and/or injury.

Planning for the unexpected.

Even when our predictions go horribly wrong and something comes up that we had not been prepared for; we can feel confident that we will be able to manage it regardless of the issue. Spending time on risk analysis organises our mind for these situations.

If you remain true to the plan and are not fudging figures or over exaggerating your skill set, you are prepared. One would always hope you are being genuine in your calculations as your reputation is connected to these projects.

When a blow out in the project occurs it has the potential to raise our stress levels. It is vital at this stage not to get caught up in a pity party and allow doubt to settle in. First allow your mind a few moments to get back to balance. Making decisions after you have separated your emotions will achieve better results.

Not all calculations will be correct, not all budgets will go to plan. Having the confidence to rely on your own ability is what got you to this very point. Trusting that our learned intelligence and experience will give us the answers to rectify anything that arises.

Having the integrity to go in search of the answers will put the project back on track. Being stuck on the problem rather than finding a solution is wasting time. Look for accountability once the project is back on track. Priority is to fix what is broken first.

Calculated risks are always exciting. There is a make or break outcome to this process. This motivates us to work harder, longer and stronger to ensure we don’t fall down. And when we do, it really is nothing more than a redirection.

One should be grateful. It may seem time consuming, the additional costs may make us cringe, but a redirection highlights we may have been going down the wrong path.

When it feels right manage what feels wrong.

If there are individuals that surround you and claim to have your best interest at heart but are advising you against your project or giving you other ideas – one should question their motivation for such negative talk rather than support. If you take on their comments then maybe the project was not for you.

However if they are attempting to talk you out of your project and you say, ‘I will take that on board’, or you feel they just don’t understand – then you are ready.

Your adversaries are nothing more than little tests along the way whispering, ‘do you really want to go there?’

Why self-doubt is a waste of time?

You have already played with doubt. You indulged it whilst using your imagination. Your risk analysis has penciled some of this hesitation into the prediction. You have done your due diligence.

Self doubt is an emotional attachment that has no benefit to your cause. Ignore it until it can’t be heard anymore. It is of no service to you once the project is underway.

Regardless of how big or small the project – risk analysis prepares us for what can and probably will go wrong. Experience has always shown me that what I have prepared for won’t be the issues I need to address. It will be something completely unexpected. But I am prepared nevertheless. My skill set has got me this far, it will get me through whatever it is that requires thought, discussion, action or new direction.

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