Project management

1. Name Humair
Semester 6th
Subject Project management
submitted To Prof: Fatima

2. Q# 1: What is Risk?
Answer:
Risk refers to the possibility of experiencing harm, loss, or undesirable outcomes as a result of
uncertain events or circumstances. It is an inherent part of everyday life and can be found in various
domains, including finance, business, health, and personal decision-making.
In general, risk involves two main components:
1. Probability: This refers to the likelihood or chance of a particular event or outcome occurring. It is
often expressed as a percentage or a fraction, ranging from 0% (no chance) to 100% (certainty).
For example, if there is a 30% chance of rain tomorrow, it indicates a moderate probability of
rainfall.
2. Impact: Impact refers to the consequences or severity of the outcome associated with a specific
risk. It can vary in magnitude and can be positive or negative. For instance, in a financial context,
the impact of an investment risk can range from financial gain to significant loss.
Write Answer fo the following Questions

3. Q#2: What is risk management process?
Answer:
● Risk management is the process of identifying, analyzing, assessing, and
responding to risks in order to minimize their potential negative impacts
and maximize project success. The goal of risk management is to
proactively address and mitigate risks by developing appropriate strategies
and actions.
● Risks can arise from various sources, including:
● Internal factors: These risks stem from within the project, such as
inadequate resources, insufficient expertise, poor planning, or changes in
project scope.
● External factors: These risks originate from external influences, such as
changes in government regulations, market conditions, economic factors,
or natural disasters.
● Technical factors: Risks related to technology, infrastructure, or the
complexity of the project. These risks can include software or hardware
failures, compatibility issues, or security breaches.
● Organizational factors: Risks associated with the project's environment,
including organizational culture, communication problems, stakeholder
conflicts, or resistance to change.

4. Q#3: What is Risk management cycle?
● Answer: Risk Identification: This phase involves identifying and recognizing potential risks that
could affect the organization's objectives or operations
● Risk Assessment: In this step, organizations assess the identified risks based on their likelihood of
occurrence and potential impact.
● Risk Analysis: Once the risks are assessed, a more detailed analysis is performed to understand
the underlying causes, consequences, and characteristics of each risk.
● Risk Evaluation: The evaluated risks are further evaluated to determine the organization's risk
tolerance or appetite. This step involves considering factors such as the organization's objectives,
resources, and stakeholders' expectations to make informed decisions about accepting, mitigating,
transferring, or avoiding the risks.
● Risk Treatment: After evaluating the risks, appropriate risk treatment strategies are selected and
implemented. These strategies may include risk avoidance, risk reduction/mitigation, risk transfer, or
risk acceptance.
● Risk Monitoring and Review: Once risk treatment measures are implemented, ongoing monitoring
and review are necessary to ensure their effectiveness and adapt to any changes in the risk
landscape
● Communication and Reporting: Throughout the risk management cycle, effective communication
and reporting are vital. It involves sharing risk-related information with relevant stakeholders,
including employees, management, board members, and external partners.
● Continuous Improvement: The risk management cycle is iterative and should promote continuous
improvement. Organizations should learn from their experiences, gather feedback, and incorporate
lessons learned into future risk management activities

5. Q#4: Why IT project fail?
Answer: IT projects can fail for various reasons. Here are some common factors that contribute to the failure of IT projects:
Poor planning: Insufficient or inadequate planning is a major cause of project failure. This includes inadequate requirements gathering, unrealistic
project goals or timelines, and lack of a clear project scope. Without a solid plan, the project is more likely to encounterissues and obstacles
along the way.
Unclear or changing requirements: If the project requirements are unclear, ambiguous, or constantly changing, it becomes challenging to deliver
a successful project. Lack of clarity leads to misunderstandings, rework, and scope creep, which can result in project failur
e.
Inadequate resources: Insufficient resources, such as budget, time, and skilled personnel, can significantly impact project success. Without the
necessary resources, the project team may struggle to meet the project's objectives, resulting in failure.
Poor communication: Effective communication is crucial for project success. When there is a lack of communication between project
stakeholders, team members, or departments, it can lead to misunderstandings, delays, and conflicts. Clear and timely communi
cation
ensures everyone is aligned and aware of project progress and changes.
Lack of stakeholder involvement: If stakeholders are not actively involved throughout the project lifecycle, it becomes difficult to meet their
expectations. Stakeholders should be engaged and provide feedback at key stages of the project to ensure their needs are met.
Inadequate project management: Effective project management is essential for the successful execution of IT projects. A lack of experienced
project managers or poor project management practices can lead to disorganization, scope creep, missed deadlines, and overallproject
failure.
Technology issues: IT projects often involve complex technologies, and if the chosen technology is not suitable or properly implemented, it can
lead to failure. Technical issues such as software bugs, scalability problems, or compatibility issues may arise, hindering project progress.
Resistance to change: IT projects often involve implementing new systems or processes, which can face resistance from employees who are
resistant to change. If the project team fails to address this resistance and provide adequate training and support, it can i
mpact project
success.
Lack of risk management: Failure to identify and mitigate project risks can have a significant impact on project outcomes. Risks such as scope
changes, resource constraints, or external dependencies should be proactively managed to minimize their impact.
Lack of quality assurance: Neglecting proper quality assurance processes, such as testing and validation, can result in the release of faulty
software or systems. Poor quality can lead to user dissatisfaction, costly rework, and project failure.