Risk management and project quality Essay Example | Topics and Well Written Essays - 1000 words

Risk management and project quality - Essay Example User support seems to be equally high for upgraded software from all vendors, but Globalupgrades seems to have marginally higher support from users. Project risk is defined as an uncertain event or condition in a project, which has a positive or negative affect on at least one project objective. Uncertainties are present in all projects and can effect the time, cost, scope, or quality of a project (Project Management Institute [PMI], 2004, p.238). 2.1 The network infrastructure is weak in some areas of the state, and may not be able to support upgraded e-mail system at some selective locations. This presents an uncertainty which may not allow the project to be executed as per its original intent. This has a potential to affect the scope of the project and is therefore a negative risk. 2.2 Several of the vendors have proposed bundling of additional features like specialized e-mail address books and templates along with their upgraded products, if their product is selected. This is a positive opportunity as the vendor is proposing a value-added service, which can enhance the quality of the project. 2.3 There appears to be a problem with resource availability for the project; the resource is estimated to fall short by two network engineers and a business analyst who would be required for project documentation. This is a negative risk, and has the potential to affect the completion of the project documentation and therefore, the project quality. 2.4 There is a possibility that one of the vendors (Globalcom) will increase its license fee by 20%. Such increase is not budgeted and has a potential to cause a cost overrun. This is a negative risk as this has the potential to negatively affect the project cost of Globalcom is selected as the vendor. 2.5 All vendors seem to be ready to offer higher discounts with increase in number of users. Ohio Department of Taxation (ODT) is considering adopting a similar e-mail system, which can increase the overall number of users when considered together with ODHS. This is a positive opportunity as this has the potential to reduce the cost of the project by leveraging the combined number of users of ODT and ODHS. 3.0 Qualitative Risk Analysis Risk Probability and Impact Assessment is a tool used for Qualitative Risk Analysis. Risk Probability Assessment investigates the likelihood that each specific risk will occur, while Risk Impact Assessment investigates the potential effect on project time, cost, scope or quality. Risks are prioritized as low, moderate, and high priority based on their probability and impact. It is proposed that ODHS use a probability and impact matrix as detailed below for this purpose. Table 3-1 Probability and Im