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Risk management of events / MANAGEMENT OF EVENTS / Prof. Doutor Rui Teixeira Santos (LUMSA, Rome, 2012)


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Risk management of events / MANAGEMENT OF EVENTS / Prof. Doutor Rui Teixeira Santos (LUMSA, Rome, 2012)

  1. 1. SUSTAINABLE MARKETING MANAGEMENT OF EVENTS AND FESTIVAL INTENSIVE PROGRAMME Event Impact Assessment, Sustainability and Risk Management Prof. Dott. Rui Teixeira Santos ISCEM Rome, 1 – 13 july 2012
  2. 2. Event ImpactAssessment, Sustainability and Risk Management Prof. Dott. Rui Teixeira Santos ISCEM, Lisbon Rome 10 July 2012
  3. 3. Program 9.00-11.00: Teaching Unit: Event Impact Assessment, Sustainability and Risk Management 11.00-11.15: Break 11.15-13.00: Teaching Unit: Event Impact Assessment, Sustainability and Risk Management 13.00-14.00: Lunch Break 14.00-16.30: Teaching Unit: Event Impact Assessment, Sustainability and Risk Management
  4. 4. Event can refer to many things such as:A type of gathering: A ceremony, for example, a marriage A competition, for example, a sports competition A convention (meeting), also known as a conference A happening, a performance or situation meant to be considered as art A festival, for example, a musical event A media event, a happening that attracts coverage by mass media A party (including internal business function or staff party) A sporting event A corporate or business function, a profit driven event meant to raise awareness of a companys brand and/or products & services.
  5. 5. Event can refer to many things such as: In science, technology, and mathematics: Event (computing), a software message indicating that something has happened, such as a keystroke or mouse click Event (synchronization primitive), a type of synchronization mechanism. Event, Particle accelerator, experiments which produce high energy (Electron volt|MeV, GeV, and TeV) subatomic particle collisions Event (probability theory), a set of outcomes to which a probability is assigned Event (UML), in Unified Modeling Language, a notable occurrence at a particular point in time Event chain methodology, in project management Event (relativity), a point in space at an instant in time, i.e. a location in spacetime Event horizon, a boundary in spacetime, typically surrounding a black hole, beyond which events cannot affect an exterior observer Extinction event, a sharp decrease in the number of species in a short period of time Celestial event, an astronomical phenomenon of interest
  6. 6. Event can refer to manythings such as: In philosophy: Event (philosophy), an object in time, or an instantiation of a property in an object Mental event, something that happens in the mind, such as a thought Grouped Events, the experience of two or more events that occur in sequence or concurrently that can be subsequently categorized
  7. 7. Event can refer to manythings such as: In Film, television, theatre and literature: The Event, an American conspiracy thriller television series for NBC The Event (film), 2003 film directed by Thom Fitzgerald Derren Brown: The Events. Event, a literary magazine published by Douglas College
  8. 8. Event can refer to manythings such as: In politics and financial French Revolution (1789) Crash of 1929, 1987, 2008 11 de September (9/11) M. Merkel a Berlin!!!!!! A Government non elect a Roma!!!!!!
  9. 9. Events such asCommunication andMarketing Strategy By forming themselves on flexibility and organicity, Events show up as a way to consolidate ties and connections with people more effective, Contemporary marketing communication tool, which helps in building a positive corporate image.
  10. 10. Change Since the late twentieth century, major changes have occurred in the business world, with new market challenges because, among other factors, the rapid changes in society and the fierce competitiveness, now globalized. With this, organizations had to adapt and innovate their ways of management and communication to maintain their market share and win over consumers. To take account of new challenges, organizations have new management approaches that in actuality, become competitive advantages for the market competition.
  11. 11. Post-modernity The world we live in today, called by Lipovetsky (2004) of hyper, post-modernity by Giddens (1990), Lyotard (1979), Bauman (1997, 2004, 2008), Maffesoli (1995) Gil (2000) and many other authors, has a set of changes so we do not have strong intellectual conditions to define them accurately. In this context of fluidity and transience and the centrality of consumption assumed in our lives (Bauman, 2008), attention is turning to marketing, as it assists organizations in developing and managing relationships with consumers and in effect on the market. Companies try to establish deeper bonds and relate in a more interactive with customers, as a possible alternative to seek differentiation and build bonds of meaning in the lives of their audiences. Comes a wave of contemporary feature that replaces coercion by the communication, the forbidden pleasure, by the anonymous tailor, accountability and the reification that tends to establish an atmosphere of closeness and concern (Lipovetsky, 2004).
  12. 12. Communication strategies Communication strategies are being reviewed and restructured, looking up new approaches to meet these challenges of the contemporary market. Consumers increased their level of care and do not accept concepts and products that do not conform to the new market rules and personal satisfaction. Thus, companies have sought innovations in the way of approaching consumers, and differentiation in its manifold possibilities, is the frequent proposal in marketing plans and communication. Tools that enable organizations to achieve greater visibility for their products and brands have been featured on the attention of professionals and market researchers.
  13. 13. Events as a form of Communication In this context, the events are understood as a form of communication with the market and identification with the consumer. The events are a way to build a positive corporate image, providing repositioning, adding new values ​and approaching its consumers through actions that promote cultural contact and perceived value. The values ​in society today, such as flexibility, sensitivity, intuition, affection, diversity, are the essence of the events. Considers that the impact of market events provide for the development company, since they continue to be performed for decades and increasingly diversified. They are present in many marketing plans and have been studied as an effective strategy advocated by health professionals.
  14. 14. Marketing and CulturalEvents Also, involve many other segments, and the multiplier effect of currency movements on the market. With the increased interest and participation that companies have been demonstrating in the cultural market in the last decade, studies related to the themes Marketing and Cultural Events have been increasingly present in the academy and the market.
  15. 15. Characterize modernity The contemporary leaves behind the boundaries clearly defined, stable routines, hierarchies, or dilutes the security of modernity. What stands now is a condition in which structures, patterns, choices and behaviors can not be defined more precisely, says Blümelhuber (2007). The accelerated pace of change is the ability and usefulness is transient. The ambiguity that we now live in different levels of our life prevents the certainty and security that the modernists enjoyed. The blurring of boundaries is evident. Giddens (1990) states that modernity brings discontinuities, as the pace of change clear that modernity sets in motion, with an extremely fast and there are waves of social transformation that penetrate virtually. This dynamism stems from the separation of time and space and their recombination and the reflexive ordering and reordering of social relations in the light of continual inputs of knowledge affecting the actions of individuals and groups.
  16. 16. Room to change… Thus, in contemporary society there is room for change, and the moment that favors this change frees up a huge potential "energy, psycho-cultural and performative" (Canevacci, 2009, p.12), it is "reflective, liquid or even hyper-modern "(BLÜMELHUBER, 2007). Canevacci understand the culture as a lifestyle and says it is increasingly constitutive part of the new metropolis, and said, "Within the communicational metropolis, it is essential to focus on the gaps, something flexible, changeable, fluctuating. For example, the spaces of raves "(Canevacci, 2009, p.9).
  17. 17. Values The metropolis of communication is based on communication and culture, "instances" that house values​​. The digital technology used for communication without borders, favors the profound transformation of the metropolis, forming large areas of communication that compete and develop a transition. Canevacci (2009, p. 5) points out that "now the metropolis of communication, is much more fluid situation." This fluidity is part of the cultural experience and urban contemporary. In this context, we discuss new forms of interaction and communication between individuals in society.
  18. 18. Luhmann and the reduction of complexity "For Luhmann, the system provides behavioral guidelines that facilitate the reduction of complexity, which is realized through the multitude of possible options." The differences are matters of social communication without borders, and society is being driven by communication, which becomes a fundamental element in the cyclic system interventions. The core element of Luhmanns theory (2005) is communication, and social systems are communication systems. A system is defined by the boundary between himself and the environment. Inside the system is to reduce complexity, the communication by selecting a limited amount of information available on the outside, separating from the outside of a highly complex. Di Nallo (1999) explains that Luhmann believes that the act of communication is not to discard anything, but rather a process of multiplication. Contents are not given, but shared, point and Bairon Perez (2002, p. 15) corroborate the present that "communication is a process of shared construction."
  19. 19. The communicative process thus has theselectivity of the information an importantelement.  Communication is related to the intervention in the struggle of signs and symbols. The way of dressing up, making music, using your body to build through cultural forms. (Canevacci, 2005). Detects the existence of a highly mobile crowd, focus and hard to interpret. Difference in styles, based on multifaceted behaviors, which became deeply personal manifestos. Multiple personalities, thresholds, good and bad ... contradictory, but so familiar ... Thus, the manifestations of the individual also become topics of discussion. Culture and communication in the current dimensions fasten the process in which the individual expands, multiplies.  Canevacci (2005), Italian anthropologist, coined the concept of multivíduo to define modern man is no more "indirect" indivisible, but "multi", complex, elusive, fleeting. There is no longer a single identity, but identities in the plural. Mobile identity and floating in transit passenger. And the events are the spatial manifestation of choice for these multiple identities. The author also highlights the challenge of modern man to invent constantly present, integrating the local with the global and inhabit multiple identities.
  20. 20. Multivíduo The relationship between individual / undivided brings to question whether the individual has an identity, that is, if it is always the same, even though in a different context. Having this feature is the great challenge of the human being today. The author argues that the plural of the self is not us, is "selves." A multiplicity of "selves" in the subject. This condition favors the proliferation of multiple "selves", which carries a kind of fluid and plural identity. It is a pluralization of individuality, which the author calls "multivíduo." Means that a subject has a multitude of selves in their own subjectivity, a multiplicity of identities. The contemporary individual is able to co-inhabit, building new identities, flexible and plural (Canevacci, 2009). Di Nallo (1999, p. 172) corroborates: "(...) presents individual identity as changeable and contradictory."
  21. 21. The contemporary consumption shall bebased on more performativedimensions. Thus, you can connect to different places and times, both with completely different people. This refers to the extreme cultures and cultures pluralized today seeking to develop and implement digital literacy (Canevacci, 2005). In these places develop different types of relationship between individuality and the concept of society, so the contemporary consumption shall be based on more performative dimensions. There are places to turn, also be an actor processes. "Much of what the contemporary communication is encouraging is that the public is a constituent part of the work and who can represent their own history, its own story, his own imagination" (Canevacci, 2009, p.5).
  22. 22. Spect-actor or Spectator Canevacci points out that it becomes also the concept of spectator, who has now become "spect-actor", a mixture of the one who assists and is also involved. It is the co- participation of the public, that is no longer passive, but is a constituent part of the work, with the capacity to absorb, understand and interact, and sometimes modify.
  23. 23. Spectator as a co-creator Lipovetsky (1983) had already taken this omen when he said that in future works of art, culture would be opened. No longer contemplate an object away, but the observer would find inside the space, with many artists dedicated to managing open spaces, curved or polissensoriais, in which the observer will sink. Uncertain and changeable, the work to establish a systematic involvement, since the observer is now streamlined, a moving reference point. So it is called to collaborate with the work and becomes a "co-creator."
  24. 24. Problems of Contemporaneity The ongoing leadership and performative work in stage design from the standpoint of consumption are hallmarks of the modern consumer. Thus, consumption becomes a perception linked to "events in their capacity to promote social integration between people, shaping the tastes and standards to create identity in constant transformations in contemporary society" (PEREZ and Trinity, 2009, p. 1). These definitions hold a congruence with respect to the detection of persons with common characteristics and hence it is the most complex problems arise Contemporaneity. Modern man, as well as multiple, is mutable, metamorphic as fast as the digital world provides.
  25. 25. The End Next, in 30 mn
  26. 26. DECONSTRUCTING TRADITIONAL MARKETING Currently the fundamentals of Modern Marketing lost their explanatory power and, increasingly, academics and practitioners argue that Marketing needs reform, maybe even a revolution, or at least a new paradigm. The discussion about the decay of Marketing become before the twenty-first century. From 80 years, the debate on the crisis of discipline assumes greater relevance, suffering 90 years with some dramatic pronouncements. In the early 1990s, the German writer Gerd Gerken published a book of explicit title: Abschied vom Marketing (Marketing Farewell, in English), which holds that new strategies that take into account what the author calls "scenarios" must be designed (DI NALLO, 1999). The fragmentation of demand and the inability to follow it when it becomes too diverse and changeable has required a change of perspective.
  27. 27. Era of Marketing According to Di Nallo (1999), Gerken took into account the latest economic and social trends and leaning in an absolutely innovative forms, at least in the new theories of communication, considered overcome the Era of Marketing. Gerken (1994) pointed out that in 90 years: (1) opens a time of "poly-sensualism," ie, many consumers live in a man, (2) the desire for novelty and discovery of the new becomes itself a need, (3) time becomes increasingly rapid and discontinuous, so the attraction to marks/brands, the attraction depends on the topicality of the same, (4) born multi-optional civilization and the market wants micro- segmentation, (5) groups referee must order the new creed is "converge", (6) the stables markets have discontinues processes and become chaotics.
  28. 28. Focus on scenarios,not on groups For Gerken (1994), fusion was the new word to define this participatory component of a different marketing. From action to interaction, with the essence of what the center does not get the reference groups, but the scenarios, which are buildings that rely on the common basis for projections, create their own currency and give the products and lifestyles informative value individual , whether batch/discontinuous or fluent. Let the reference groups, to focus on scenarios, represented a decisive shift to marketing. The market success will always depend on more than one can impose on the public conscience of the social interpretation of the product.
  29. 29. Marketing Post-modern For the Marketing, this implies the end of abstract reasoning about reference groups and head to real social groups, and at the same time means to live among these groups, rather than analyze them only from the outside (Gerken, 1994, p. 108).
  30. 30. The most recent marketing studies put theconsumer at the center of the dynamics ofconsumption.  With this paradigm shift, new challenges are coming.  The business process becomes dependent on the communication. Communication theorists have a field of increasingly complex challenges, to represent the aspirations and realities increasingly pluralistic, global and complex. Bairon and Perez (2002, p.13) argue that, to the analysis of communication, one should take into account dimensions "of sociology, anthropology, history, social and experimental psychology, linguistics and semiotics, and of course. philosophy. "  Following this thought, Di Nallo (1999) set up a new approach to the Marketing, Meeting Points, which evaluates the concept that the goal should be to get the companies directly under the scenarios, participate actively in the construction of cultures of consumption, emphasizing participation and interactivity.
  31. 31. Companiesas a part of the systems Companies should be considered as part of systems that intend to operate, which necessarily implies that his view is the internal market and conditioned by several factors. We can no longer act in the market and consumers as if they were targets for which direct the attention. Every action of Marketing will no longer only in the direction of the company to the market, became a boomerang whose trajectory depends partly on business strategies, but more social systems with which it comes into contact.
  32. 32. Meeting Points Consumption and style are definitely not demarcated, but mobile and changing, giving rise to the phenomena of cheating the consumer. The needs of todays consumers may not be what he will need tomorrow. The products are inserted in consume systems. The venues of consumers with these systems and products are the areas called Meeting Points (DI NALLO, 1999). This meeting is by use of communicative flows that interacts with the market and the company, which influence the market system and meeting points, allowing the company to act with conscience, since it is able to observe and understand the various mechanisms that lead to meeting with the consumer.
  33. 33. To know the communication processes Addressing the meeting points underscores the need for conscious attunement and analysis of early communicative veins that will influence the area of consume. In this perspective one can not think of an marketing industry that addresses the needs of consumers, bypassing technological developments, legal developments, demographic trends and religious, anthropological developments, finally, the demands and needs of the consumer. (DI NALLO, 1999, p 22.) Thus, to understand the processes of communication, the interaction and the perception that govern the creation and the consumption of the product, can predict what interests the market and guide you to the directions most convenient for the company.
  34. 34. EVENTS "For many entrepreneurs, the event is the main product of Cultural Marketing," says Tavares (2003, p. 101). Kotler and Keller explains that "events and experiences are opportunities to take part in relevant and more personal moments in the lives of consumers" (Kotler and Keller, 2006, p. 596), being able to broaden and deepen the relationship between the sponsors and their consumers .
  35. 35. Events as a answer to the Digital Era In the same vein, Smith (2005, p. 13) explains that "the era of virtual information, meeting people is of greater importance", hence the proliferation of the use of events by companies. By its ability to unite and sponsor potential consumers in an interactive environment, from the occurrence or event actually attractive. Events can have a major impact on the public, by their simultaneity and individual experiences, even being considered vehicle for ephemeral, according to Tavares (2003). Events can be considered promotional tools that deliver the experience of the consumer brand, and, from the standpoint of the company, a number of reasons to perform them or sponsor them.
  36. 36. Some reasons are: - vg. Kotler and Keller (2006)• Create identification with a target market or specificlifestyle;• Increase awareness of the company / product;• Create or enhance consumer perceptions as the keyassociations with the brand image;• Improve corporate image dimensions;• Create experiences and sensations cause;• Allow opportunities for dissemination or promotions.
  37. 37. Sustentability The choice of type of event should be consistent with other communication plans. The type of event should be appropriate to the characteristics of the company, consistent with the positioning of the product and the company, and consistent with the profile of the public who want to reach. Fischer (2002) points out that the action becomes more effective when linked directly to a particular market segment. The degree of involvement and integration with the public event has the same level of importance from the aspect of marketing, say Crescitelli and Costa (2007).
  38. 38. Objectives of the event andevent typology The various terms and classifications that involve the function of the activity, the public participation and the company, can be combined by providing multiple sensory appeals. It is the goal of the event which determines the type, according to Silva (2005, p.23) "to be directed, the event can, in a short period of time and one time, achieving a good deal of public whish interest to the company."
  39. 39. Events , Competitivenessand job creation The cultural event is a way to provide entertainment and recreation for the public consumer who produces more benefits than a joint advertising campaign in the media. For Silva (2005), Events must be thought of as true competitive advantage, because the events they create, recreate, reinvent and innovate. There are simple facts, events and agents of change but of the whole society, becoming more essential to the economic life of any organization. Each year they grow in number, proportion and degree of sophistication and involve a large number of agents, create job opportunities and direct and indirect jobs, which streamlines and increases activity of the professional market.
  40. 40. Events as a economic andsocial development The events segment is already being seen as an important catalyst and notorious driver of economic and social development. Events are able to represent a great stimulus to the economy, giving rise to a new industry expanding, capable of generating financial returns and provide employment generation, assuming transformative role in society and, consequently, the corporate image (SILVA, 2005).
  41. 41. Events as Media The holding of events such as communication strategy, integrating the information process, making the newest "media" acting to mobilize public opinion, generate controversy, creating facts become event and arouse emotions in people.
  42. 42. The return of the events Many pieces and promotional materials can be used in disseminating and venue of the event, reinforcing the attachment of the image of the companies / products that participate in it. Silva (2005) believes that a company can use the event in different ways, subject to variables such as the importance of objectives, the level of expected return and the availability of funds. The processes are complex and involve large numbers of people and financial resources, so there is a need for adequate planning that includes objectives, content and form, and a rigorous cost / benefit analysis, because when companies invest in Events aspire to a tangible return.
  43. 43. Conclusions Events are a way for the construction and expansion of connections and links more effective. Thus, the consumer is now also an actor processes. With the plural identities, moments multi-media operating environments present in the culture of Events enable a differentiated enjoyment, which is configured as a privileged setting for engaging with their audiences. Many of the events leading name brands that conduct or sponsor, strengthening even further the association with the brand. For this process to make symbolic production, advertising, therefore, has "no more than advertise products, but rather marks mean" (Perez 2004, p. 111)
  44. 44. A ideological process In giving the life of its own brands, which contributed to the social relations behind the goods were further masked somewhat more distorted. Therefore, we can say that the postmodern times dont eliminated the ideology, but on the contrary, it intensified. They made their process more complex.
  45. 45. Event as ―leverage‖ of abusiness Event is a contemporary marketing strategy, consistent communication with the metropolis of differentiated integration therefore considered effective. For Melo Neto (2000, p. 111) "Events are currently the newest form of leverage of any business professional."
  46. 46. Bibliography AAKER, David. Criando e Administrando Marcas de Sucesso. S.Paulo: Futura, 1996 BAUMAN, Zygmunt. Ética pós-modena. São Paulo, Paulus, 1997. ________. Modernidade líquida. Rio de Janeiro: Jorge Zahar, 2004. _________. Vida para o consumo. Rio de Janeiro: Zahar, 2008 BLÜMELHUBER, Christian. Goodbye and Good Luck, Mr. Kotler. Expertise, Junho/2007, p. 36-40. CARDOSO, Onésimo; FOSSÁ, Maria Tereza. Comunicação Organizacional: Confronto entre Luhmann e Habermas. EnANPAD 2008, Rio de Janeiro. CANEVACCI, Massimo. A Comunicação entre Corpos e Metrópoles. Revista Eletrônica Signos do Consumo (USP), Janeiro- Julho/2009. ____________. Culturas eXtremas: Mutações Juvenis nos Corpos das Metrópoles. Rio de Janeiro: DP&A, 2005. COSTA, Antonio; CRESCITELLI, Edson. Marketing Promocional para Mercados Competitivos. São Paulo: Atlas, 2007.
  47. 47.  DI NALLO, Egeria. Meeting Points: Soluções de Marketing para uma Sociedade Complexa. São Paulo: Cobra, 1999. FISCHER, Micky. Marketing Cultural: Legislação, Planejamento e Exemplos Práticos. São Paulo: Global, 2002. GERKEN, Gerd. Addio al Marketing. Torino: Isedi, 1994. GIDDENS, Anthony. The consequences of modernity. Palo Alto: Stanford University Press, 1990. KOTLER, Philip, KELLER, Kevin. Administração de Marketing. São Paulo: Prentice Hall - Person Education, 2006. LIPOVETSKY, Gilles. A era do vazio: ensaio sobre o individualismo contemporâneo. Lisboa: Relógio Dágua, 1983. _____________. Os tempos hipermodernos. São Paulo: Barcarolla, 2004. LUHMANN, Niklas. A Realidade dos Meios de Comunicação. São Paulo: Paulus, 2005. LYOTARD, Jean François. La condition post-moderne. Paris : Minuit, 1979.
  48. 48.  McCRACKEN, Grant. Cultura & Consumo: novas abordagens ao caráter simbólico dos bens e atividades de consumo. Rio de Janeiro: Mauad, 2003. MELO NETO, Francisco. Criatividade em Eventos. São Paulo: Contexto, 2000. OLIVEIRA, Gabriela Ayer. Meeting Points: Eventos como estratégia de Marketing. Anais do XXXII Congresso Brasileiro de Ciências da Comunicação. Curitiba, 2009. PEREZ, Clotilde. O fim do Target. Point of View. São Paulo: Ipsos, 2009. _______. Signos da marca. Expressividade e Sensorialidade. São Paulo: ThomsonLearning, 2004. _______; BAIRON, Sérgio. Comunicação & Marketing. São Paulo: Futura, 2002. _______; TRINDADE, Eneus. Signos do Consumo Ganham Novo Espaço. Revista Eletrônica Signos do Consumo (USP), Janeiro-Julho/2009. PEREZ e OLIVEIRA, Meeting Points: Eventos como Estratégia de Comunicação e Marketing, Pontifícia Universidade Católica, São Paulo, SP
  49. 49. The End Next after Lunch time
  50. 50. Involving context Contexto Económico - Determina as trocas de bens e serviços, dinheiro e informação na sociedade. Contexto Sociocultural - Reflete os valores, costumes e tradições da sociedade. Contexto Político-legal - Condiciona a alocação de poder e providencia o enquadramento legal da sociedade. Contexto Tecnológico - Traduz o progresso técnico da sociedade.
  51. 51. Event impactassessment, sustainabilityand risk management. Great events have significant impacts. Large-scale events have impacts on the urban level, the development of cities, but also at the legacy for the future and even, later developments to the event itself. These beneficial effects must be evaluated and measured. The Olympic games of Barcelona, or Expo 94 in Lisbon, or the Olympic Games London 2012 are opportunities to revitalize cities. The same happened in Chicago, Francisco, Shanghai and Moscow.
  52. 52. Event Legacy The model of development which is to be applied in London for the Olympic Games this summer, can be considered even as a new development model ds cities in the future (Johnson and Tassiopoulos, 2012)
  53. 53. System of ImpactAssessment (SIA) Screening Scoping Impact assessment Options Decision making and implementation Monitoring, appraisal and post-audit Consultations
  54. 54. Screening Screening represents the measures taken for evaluation. should be taken in the most preliminary. sampling to determine the type of assessment to be made, distinguishing where one must make a full APPRAISAL or just simplified. Probably should draw up a list where distinguishes the impact assessment "full", "simplified" or "No". Only the major policy interventions with greater complexity should be "full" assessed. Usually with other forms of assessment it is possible to reach correct conclusions with more controlled costs.
  55. 55. Scoping Scope must be done in the initial stages of defining the policy. The purposes of the Scope Management / Project Scope includes the definition of the work required to complete the project, serve as a guide (or reference point) to determine what work is not included (or not needed) in the project. The scope / context is the focus of the project. The scope of the project differs from the product scope to the extent that the project scope defines the work required to make the product, and defines the scope of the product features (attributes and behaviors) of the product being created. The projects often do not divert the focus of the business, and are usually related to their core business.
  56. 56. Selection of the project for its scope /context Most projects go through a process to determine its cost and value. They are selected based on several conditions: opportunity, need, customer requirements, changes in laws, among others. The scope / scope of the project should be created to support the purpose and need for the project. The selection process based on the perceived value is usually a cost / benefit ratio (BCR). This type of study is comparative, and determines whether the project is worth being done. Another selection model is the constrained optimization method. These methods are used most often in large projects, and focus on relatively complex mathematical equations. Some of the most common models are: linear programming, nonlinear programming, integer programming and algorithms multi-objective.
  57. 57. Home Project When a project is selected, the next step are the processes of initiation. One of the main outputs of the first term is the opening of the Project (or Project Charter), it is important to give authority to the project manager. The Term Project Charter names the project, and defines project manager with authority and responsibilities. It also defines the business needs to be satisfied by the product of the project (Project Requirements). It is said that the project does not exist until a term has been created.
  58. 58. Planning Project Scope The scope of the project planning is done through a process called scope management plan. To determine what the scope of the project, there is much scope planning. For this, both the manager and the team must have a unified view on what are the components of the project, its requirements, the expectations of project stakeholders, and where the project fits the needs of business stakeholders. The result of the planning scope is the scope statement. The scope statement says whats inside and what is outside of the project, clearly and unambiguously. It is important that the scope statement is well-made, and there is agreement on it. When the scope statement is ready, the project team, stakeholders, the project sponsor and project manager should not change the scope - unless there is a very strong reason to justify this change (which almost certainly means the cost impacts the project).
  59. 59. Management processes of the project scope These processes are the following scope management plans. They ensure that the scope will include all the work required - and only the work required - to complete the project. It also documents how changes may enter the scope, and how often it is expected that the scope change. [edit] Change Control Project Scope Ensure that changes are agreed by all Determine when a change occurred Management of change when / if it occurs
  60. 60. Verification of the projectscope Scope verification is the process of formally accepting the project work as defined in its documentation, the scope of the project, or contract, if applicable. The formal acceptance requires the signature for product acceptance. The verification of the project scope occurs at certain times: At the end of the project In the final phase of the project
  61. 61. Impact assessment The assessment of the impact must take into account costs. Assuming that the scope of the project to determine what would be the kind of impact assessment definitions should be if the resources of the house (in Simplified), or if you have to resort to third party services (full). The assessment should cover all economic social and environmental aspects, among others, the various alternatives should be investigated. The assessments should be measured in the short, medium and long term.
  62. 62. Options and M&E Analyses In the beginning all the choices made in the scoping phase are analyzed in the phase of impact assessment. Having made the screening is only a few that will be analyzed more deeply. At this stage the analysis is more specific and will collect data, sometimes in percentages sometimes statistically
  63. 63. Decision making andimplementation At this stage one should make the planning of specific actions already at a very concrete, policy implementation should be monitored. There should be a relationship between assessment and decision and establish the post-audit
  64. 64. Monitoring, appraisal andpost-audit The distinction is between monitoring, evaluation and post-event audit and monitoring, appraisal and post-audit of the political events of the same type. This phase must assess the initiative in concrete and its impacts in the short term and locally and politics as a whole and their overall impacts
  65. 65. Consultations The stakeholder consultation is an essential part of the System Impact Assessment (SIA) The role is multi-functional and contributes to the different stages of the SIA Process. Includes guidance on the process, information and expertise on the assessment, and commenting reviewing up an assessment, support assessment finding in decision-making and Implementation
  66. 66. Public Interest on riskanaliyses In last tree decades Supplement and complement of all management The adaptation on risk analyses have led to an unprecedented of theory, methodology and practical tools. There is risks associate to areas of system development, planning, design, prototyping, an d constructing of physical infrastructures And quality control, maintenance, estimation of costs and schedules and proget management
  67. 67. Risk Measure of the probability and severity of adverse effects, in a concept that many find to difficult to comprehend and its quantification has challenged and confused laypersons and professionals alike Why? Because risk is a complex composition of reality (the potential damage) and the imagined mathematical human construct termed probability Probability per se is intangible, yes its omnipresence in risk-based decision- making is indisputable.
  68. 68. Quantitative and empiricalbalance of the risk There are many models to calculate the risk as Hierarchical multiobjetive modeling (HHM), Today is a discipline a science: risk management
  69. 69. Risk types 1. Non systematic risks (risk of one organization): Financial Risks (cost of the structures of org.) and business risks (from de management of the org.) 2. Systematic risks (market risks): Financial Risks (involving environment) and Business Risks (management of positions and factors of the org. on the market)
  70. 70. Sustainable system thatreduces the risk of eventsCreating a risk-intelligent organization: using enterpriserisk management, organizations can systematicallyidentify potential exposures, take corrective actionearly, and learn from those actions to better achieveobjectivesThe three steps a event organization should considerwhen executing an initial risk assessment are: Define, Execute and Rate and Report. A practical, reasoned approach will provide the organization with the necessary tools to develop a comprehensive analysis of organizational risk that will be the foundation of all subsequent risk management activities.
  71. 71. 1. Define An organizational risk assessment, broadly defined, is a structured means of identifying, assessing and rating the risks faced by an organization within the context of its financial reporting processes, operations and compliance with laws and regulations. It is designed to provide the organization with a structured means to harvest relevant information necessary to proactively consider the implications of such risks, and what actions, if any, the organization should take to mitigate those risks. Advance preparation is critical to the successful execution of an effective organizational risk assessment. Since individuals from across organizational functions will be involved, the language used to articulate the components of the organizational risk assessment must be standardized and communicated throughout the risk assessment team, the audit committee and board of directors and the organization as a whole. Communicating the definition of inherent risk is a good place to start. This would include the risk to an organization before the application or consideration of internal controls that would alter the underlying risk’s likelihood of occurrence and/or impact. For example, an inherent risk relating to cash is that cash can be easily stolen, temporarily borrowed or misappropriated. Internal controls implemented by an organization to mitigate the inherent risk would have a direct impact on the likelihood that cash balances could be misappropriated or misstated.
  72. 72.  A well-structured, comprehensive organizational risk assessment should consider the key business and support functions of the organization and measure the inherent risks associated with those functions over a spectrum of broad risk factors. Create a comprehensive list of the significant processes and key support functions for your organization. Is there a single revenue process or multiple distinct revenue processes that need to be considered? For example, a retail organization may sell product in stores in addition to selling directly to consumers through the internet. Is technology a critical process or is it a support function within your organization? The risk factors should be defined in advance and approved by those responsible for the overall risk assessment process, which may include the CFO, CEO and audit committee. The primary risk factors that an organization may consider evaluating in the organizational risk assessment include: Market/Reputation risk Financial risk Operational risk Legal/regulatory risk Strategic risk Technology risk People/culture risks Fraud risk Social/political risks
  73. 73. 2. Execute and Rate Comparing and contrasting risk factors across the organization of events are accomplished through an established risk rating system. Standardizing definitions and assigning quantitative factors whenever possible facilitates prioritization of identified risks. The likelihood of an inherent risk occurring as well as the impact to the organization if that risk should occur can best be defined in terms of a numeric rating scale. For example, a scale of one to five — representing virtually no possibility of a risk occurring all the way up to the likelihood that the risk is almost certain to occur — provides a standard language with which to discuss and define the inherent risks of events. Likewise, a scale of one to five would be established for rating the impact, one representing no impact up to five, representing highly significant material impact.
  74. 74.  When applied to the concept of reputation risk, the possibility that unconventional sales techniques are employed in your organization’s revenue process might give rise to a higher likelihood (4 or 5) with a relatively significant impact (4 or 5) on the organization’s reputation. The combination of these ratings might then translate to an overall high rating for reputation risk within the revenue process. Risk ratings are best assigned during healthy facilitated discussions of the inherent risk factors among process owners and key stakeholders. These discussions provide a 360-degree perspective of risks faced by the organization, which in turn provides the organization with the information necessary to make focused, value-added decisions with available resources. Consider utilizing an Excel spreadsheet to document these discussions and capture the risk ratings. Create a tab for each significant process listing out the risk factors, with columns for rating the likelihood and impact, and assigning the resulting overall risk level. Key discussion points should also be documented as well as the underlying rationale for the ratings.
  75. 75. 3. Report All too often organizations of events misallocate resources to the easiest fixes or the squeakiest wheel regardless of the level of risk. Comparing the ratings of the risk factors across the significant processes provides an overview of the risks to the organization and prioritizes risks and high risk processes for decision makers, leading to an appropriate allocation of resources. The net effect of implementing and reporting on this type of comprehensive approach is multi–faceted: Increased awareness of and consensus among key decision makers as to the critical risks faced by the organization of events; Development of standardized measurement criteria to actively track historical risks and the impact of related remediation activities; and More efficient and effective use of organizational resources.
  76. 76. Conclusion The organizational risk assessment can be your first step in establishing a risk management function. Considering that the general business environment, economics and technology standards are continuously evolving and can have a significant impact on a business/events, an organizational risk assessment should be conducted or updated at least annually. Areas of high risk should be carefully evaluated for the adequate application of controls and monitored to ensure those controls are operating as designed.