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� 1�
Bill�Gates�Issues�Call�For�Kinder�Capitalism�
Famously�Competitive,��
Billionaire�Now�Urges��
Business�to�Aid�the�Poor�
By�ROBERT�A.�GUTH�
January�24,�2008;�Page�A1�
Free� enterprise� has� been� good� to� Bill� Gates.� But�
today,� the� Microsoft� Corp.� chairman� will� call� for�
a�
revision�of�capitalism.�
In� a� speech� at� the� World� Economic� Forum� in�
Davos,� Switzerland,� the� software� tycoon� plans� to�
call� for� a�
"creative�capitalism"�that�uses�market�forces�to�address
�poor-country�needs�that�he�feels�are�being�ignored.�
"We�have�to�find�a�way�to�make�the�aspects�of�capit
alism�that�serve�wealthier�people�serve�poorer�people�a
s�
well,"�Mr.�Gates� will�tell� world�leaders�at�the�
forum,�according�to�a�copy�of�the�speech�seen�by�Th
e�Wall�
Street�Journal.�
Mr.� Gates� isn't� abandoning� his� belief� in�
capitalism� as� the� best� economic� system.� But� in�
an� interview� with�
the� Journal� last� week� at� his� Microsoft� office� in�
Redmond,� Wash.,� Mr.� Gates� said� that� he� has�
grown�
impatient� with� the� shortcomings� of� capitalism.� He�
said� he� has� seen� those� failings� first-hand� on�
trips� for�
Microsoft�to�places�like�the� South�
African�slum�of�Soweto,�and�discussed�them�
with�dozens�of�experts�on�
disease�and�poverty.�He�has�voraciously�read�about�tho
se�failings�in�books�that�propose�new�approaches�to�
narrowing�the�gap�between�rich�and�poor.�
In�particular,�he�said,�he's�troubled�that�advances�in�te
chnology,�health�care�and�education�tend�to�help�the�
rich�and�bypass�the�poor.�"The�rate�of�improvement�fo
r�the�third�that�is�better�off�is�pretty�rapid,"�he�said.
�
"The�part�that's�unsatisfactory�is�for�the�bottom�third�
--�two�billion�of�six�billion."�
Three�weeks�ago,�on�a�flight�home�from�a�New�Zeala
nd�vacation,�Mr.�Gates�took�out�a�yellow�pad�of�pape
r�
and�listed�ideas�about�why�capitalism,�while�so�good�f
or�so�many,�is�failing�much�of�the�world.�He�refined
�
those� thoughts� into� the� speech� he� will� give�
today� at� the� annual� Davos� conference� of� world�
leaders� in�
business,�politics�and�nonprofit�organizations.�
Among�the�
fixes�he�plans�to�call�for:�Companies�should�create�bu
sinesses�that�focus�on� building�products�
and� services� for� the� poor.� "Such� a� system� would�
have� a� twin� mission:� making� profits� and� also�
improving�
lives�for�those�who�don't�fully�benefit�from�market�for
ces,"�he�plans�to�say.�
Mr.�Gates's�Davos�speech�offers�some�insight�into�his�
goals�as�he�prepares�to�retire�in�June�from�full-time�
work� at� Microsoft� --� where� he� will� remain�
chairman� --� and� focus� on� his� philanthropy,� the�
Bill� &� Melinda�
Gates�Foundation.�
Mr.� Gates� sees� a� role� for� himself� spurring�
companies� into� action,� he� said� in� the� interview.�
"The� idea� that�
you�encourage�companies�to�take�their�innovative�thinke
rs�and�think�about�the�most�needy�--�even�beyond�
the�market�opportunities�--
�that's�something�that�appropriately�ought�to�be�done,"
�he�said.�
His�thoughts�on�philanthropy�are�closely�heeded�becaus
e�of�the�business�success�that� made�Mr.�Gates�one�
of�the�world's�richest�men.�His�eight-year-
old�charity�is�expanding�rapidly� following�the�
2006�decision�by�
Warren�Buffett�to�leave�his�fortune�to�the�foundation.�
That�donation,�at�the�time�valued�at�about�$31�billion,
�
increases�to�some�$70�billion�the�hoard�Mr.�Gates�say
s�will�be�given�away�within�50�years�of�the�deaths�o
f�
him�and�his�wife.�
� 2�
�
�
�
�
�
�
�
�
�
�
Serving�the�Poor�
But� Mr.� Gates's� argument� for� the� potential�
profitability� of� serving� the� poor� is� certain� to�
raise� skepticism.�
"There's� a� lot� of� people� at� the� bottom� of� the�
pyramid� but� the� size� of� the� transactions� is� so�
small� it� is� not�
worth� it� for� private� business� most� of� the� time,"�
says� William� Easterly,� a� New� York� University�
professor�
and�former�World�Bank�economist.�
Others�may�point�out�that�poverty�became�a�priority�f
or�Mr.�Gates�only�after� he'd�earned�billions�building�
Microsoft�into�a�global�giant.�
Mr.�Gates�acknowledges�that�Microsoft�early�on�was�h
ardly�a�charity.�"We�weren't�focused�on�the�needs�of�
the� neediest,"� he� said,� "although� low-cost� personal�
computing� certainly� is� a� tool� for� drug� discovery�
and�
things�that�have�had�this�very�pervasive�effect,�includi
ng�the�rise�of�the�Internet,"�he�said.�
Although�Microsoft�has�had�an�active�philanthropic�arm
�for�two�decades,�only�in�2006�did�it�start�seriously�
experimenting�with�software�in�poorer�counties�in�ways
�that�would�fit�Mr.�Gates's�creative�capitalism�idea.�
Under�that�2006�program,�
handled�by�about�180�Microsoft� employees,� the�
company� offers� stripped-down�
software�and�alternative�ways�of�paying�for�PCs�to�po
orer�countries.�
With�today's�speech,�Mr.�Gates�adds�his�high-
profile�name�to�the�ranks�of�those�who�argue�that�unf
ettered�
capitalism�can't�solve�broad�social�problems.�Muhammad
�Yunus,�the�Bangladeshi�economist� who�won�the�
2006� Nobel� Peace�Prize� for� his� work� providing�
small� loans� to� the� poor,� is� traversing� the� U.S.�
this� month�
promoting�a�new�book�that�calls�capitalism�"half�devel
oped"�because�it�focuses�only�on�the�profit-oriented�
side�of�human�nature,�not�on�the�satisfaction�derived�f
rom�helping�others.�
Key�to�Mr.�Gates's�plan�will�be�for�businesses�to�ded
icate�their�top�people�to�poor�issues�--
�an�approach�he�
feels� is� more� powerful� than� traditional� corporate�
donations� and� volunteer� work.� Governments� should�
set�
policies�and�disburse�funds�to�create�financial�incentive
s�for�businesses�to�improve�the�lives�of�the�poor,�he
�
plans�to�say�today.�"If�we�can�spend�the�early�decade
s�of�the�21st�century�finding�approaches�that�meet�the
�
needs�of�the�poor�in�ways�that�generate�profits�for�bu
siness,�we�will�have�found�a�sustainable�way�to�reduc
e�
poverty�in�the�world,"�Mr.�Gates�plans�to�say.�
� 3�
In�the�interview,�Mr.�Gates�was�emphatic�that�he's�not
�calling�for�a�fundamental�change�in�how�capitalism�
works.� He� cited� Adam� Smith,� whose� treatise,�
"The�Wealth� of� Nations,"� lays� out� the� rationale�
for� the� self-
interest� that� drives� capitalism� and� companies�
like�Microsoft.�That� shouldn't� change,� "one� iota,"�
Mr.� Gates�
said.�
But�there's�more�to�Adam�Smith,�he�added.�"This�was
�written�before�'Wealth�of�Nations,'"�Mr.�Gates�said,�
flipping� through� a� copy� of� Adam� Smith's� 1759�
book,� "The� Theory� of� Moral� Sentiments."� It�
argues� that�
humans� gain� pleasure� from� taking� an� interest� in�
the� "fortunes� of� others."� Mr.� Gates� will� quote�
from� that�
book�in�his�speech�today.�
Talk� of� "moral� sentiments"� may� seem� surprising�
from� a� man� whose� competitive� drive� is� so� fierce�
that� it�
drew�legal�challenges�from�antitrust�authorities.�But�Mr.
�Gates�said�his�thinking�about�capitalism�has�been�
evolving� for� years.� He� outlined� part� of� his�
evolution�
from�software�titan�to�philanthropist�in�a�speech�last�
June� to� Harvard's� graduating� class,� recounting� how�
when� he� left� Harvard� in� 1975� he� knew� little� of�
the�
inequities� in� the� world.� A� range� of� experiences�
including� trips� to� Africa� and� India� have� helped�
raise� that�
awareness.�
In� the� Harvard� speech,� Mr.� Gates� floated� the�
idea� of� "creative� capitalism."� But� at� the� time� he�
had� only� a�
"fuzzy"�sense�of�what�he�meant.�To�clarify�his�thinkin
g,�he�decided�to�prepare�the�Davos�speech.�
On�Jan.�1,�following�a�family�vacation,�Mr.�Gates�boa
rded�a�commercial�flight�in�Auckland,�New�Zealand,�
and�during�the�21-hour,�two-
layover�journey�back�to�Seattle�he�started�writing�his�
speech.�
The�Sword�Swallower�
He�drew�from�influences�ranging�from�the�leading�thin
kers�on�capitalism�and�a�sword-swallowing�Swedish�
health�expert�to�Norman�Borlaug,�the�plant�pathologist�
who�won�the�1970�Nobel�Peace�Prize�for�his�role�in
�
the�Green�Revolution�that�boosted�food�production.�A�l
ong�talk�with�his�wife,�Melinda,�in�the�first�week�of
�
January�also�helped�shape�the�speech,�said�Mr.�Gates.�
In�setting�up�his�foundation�in�2000,�Mr.�Gates�unders
tood�that�widespread�criticism�existed�of�programs�to�
help� the� poor.� U.S.� aid� had� often� been�
motivated� by� broader� Cold� War� goals� and� often�
had� failed� to�
advance� living� conditions� for� the� world's� poor.�
Successful� programs,� such� as� the� Green� Revolution,�
were�
overshadowed�by�growing�awareness�of�their�negative�si
de�effects�on�the�environment�and�local�cultures.�
Meanwhile,�companies�including�Microsoft�had�donated�
huge�amounts�of�cash�and�products�to�developing�
countries�without�seeking�to�create�sustainable�growth.�
Free�Microsoft�software�in�some�countries�spawned�
broad�usage�of�computers,�while�in�"other�places�you�
announce�a�big�free�software�grant,�come�back�a�few
�
years�later,�nothing,"�Mr.�Gates�said.�
His�growing�awareness�of�such�limits�sparked�new�idea
s�on�how�businesses�could�approach�poor�countries.�
At�a�dinner�near�Seattle�in�2004,�Mr.�Gates�met�one
�of�the�leading�thinkers�on�that�front,�C.K.�Prahalad,�
a�
University� of� Michigan� professor� who� had� written�
"The� Fortune� at� the� Bottom� of� the� Pyramid."� In�
that�
article�and�a�subsequent�book�by�the�same�title,�Mr.�
Prahalad�proposed�that�the�world's�four�billion�poorest�
people�represented�a�huge�market�for�companies�willing
�to�try.�
Other� books� influencing� Mr.� Gates� included� "The�
Mystery� of� Capital"� and� "Good� Capitalism,� Bad�
Capitalism� and� the� Economics� of� Growth� and�
Prosperity"� and� "The� Bottom� Billion."� This� reading�
helped�
inform� Mr.� Gates's� belief� that� leading� companies�
should� find� ways� to� sell� to� and� work� with� the�
poorest.�
"You�have�people�who�are�inciting�companies�to�say,�'
Look,�this�is�a�lot�of�people,'"�Mr.�Gates�said.�
Mr.� Gates� in� his� speech� will� note� several�
programs� that� "stretch� the� reach� of� market�
forces,"� including� a�
World�Health�Organization�venture�with�an�Indian�vacci
ne�maker�to�sell�a�meningitis�vaccine�in�Africa�for�
� 4�
far� less� than� existing� vaccines.� He� will� also�
highlight� a� new� program� designed� to� give� African�
coffee�
farmers� better� access� to� coffee� buyers� in� rich�
counties.� "We� don't� need� some� dramatic� big� new�
tax� or�
requirement,"�Mr.�Gates�said�in�the�interview.�"What�
we�need�is�the�recognition�of�the�creativity�
here�that�
some�of�the�leaders�are�exercising."�
To� a� degree,� Mr.� Gates's� speech� is� an� answer�
to� critics� of� rich-country� efforts� to� help� the�
poor.� One�
perennial�critic�is�Mr.�Easterly,�the�New�
York�University� professor,� whose� 2006�book,�"The�
White� Man's�
Burden,"� found� little� evidence� of� benefit� from� the�
$2.3� trillion� given� in� foreign� aid� over� the� past�
five�
decades.�
Mr.� Gates� said� he� hated� the� book.� His� feelings�
surfaced� in� January� 2007� during� a� Davos� panel�
discussion�
with�Mr.�Easterly,�Liberian�President�Ellen�Johnson�Sirl
eaf�and�then-World�Bank�chief�Paul�Wolfowitz.�To�
a� packed� room� of� Davos� attendees,� Mr.� Easterly�
noted� that� all� the� aid� given� to� Africa� over� the�
years� has�
failed�to� stimulate�economic�
growth�on�the�continent.�Mr.� Gates,� his�
voice�rising,� snapped�back�that�there�
are� measures�of�success�other�than�economic�growth�--
�such�as�rising�literacy�rates�or�lives�saved�through�
smallpox� vaccines.� "I� don't� promise� that� when� a�
kid� lives� it� will� cause� a� GNP� increase,"� he�
quipped.� "I�
think�life�has�value."�
Brushing� off� Mr.� Gates's� comments,� Mr.� Easterly�
responds,� "The� vested� interests� in� aid� are� so�
powerful�
they�resist�change�and�they�ignore�criticism.�It�is�so�
good�to�try�to�help�the�poor�but�there�is�this�feeling
�that�
[philanthropists]�should�be�immune�from�criticism."�
�
�
�
�
�
�
�
�
�
�
�
�
Belief�in�Technology�
A� core� belief� of� Mr.� Gates� is� that� technology�
can� erase� problems� that� seem� intractable.� That�
belief� was�
deepened,� Mr.� Gates� says,� by� his� study� of�
Julian� Simon,� a� now-deceased� business� professor�
who� argued�
that�increases�in�wealth�and�technology�would�offset�sh
ortages�in�energy,�food�and�other�global�resources.�
� 5�
Pacing� in� his� office� last� week,� Mr.� Gates� retold�
the� story� of� a� famous� $10,000� wager� between�
Mr.� Simon�
and� Paul� Ehrlich,� a� Stanford� University� professor�
who� predicted� that� human� population� growth� would�
outstrip�the�earth's�resources.�Mr.�Simon�bet�that�even
�as�a�growing�population�increased�demand�for�metals
�
such� as� tin� and� copper,� the� price� of� those�
metals� would� fall� within� the� decade� ending� in�
1990.� Mr.� Simon�
won�the�bet.�"He�cremated�the�guy,"�says�Mr.�Gates.�
Mr.�Ehrlich's�administrator�at�Stanford�University�said�
he�was�out�of�the�country�and�couldn't�comment�on�t
he�wager.�
In�early�2006,�Mr.�Gates�found�further�evidence�of�an
�improving�world�in�the�online�video�of�Hans�Rosling,
�
a�Swedish�professor�of�international�health.�In�the�vide
o,�Prof.�Rosling�used�an�enormous�animated�graph�to�
show�that�in�the�previous�four�decades�life�expectancy
�and�family�size�in�developing�countries�had�come�to
�
approach�the�levels�of�developed�countries.�
The� video� so� inspired� Mr.� Gates� that� he� bought�
dozens� of� copies� of� Prof.� Rosling's� textbook� on�
global�
health.�Watching�Prof.�Rosling's�most�recent�video�last
�year,�Mr.�Gates�saw�the�professor�end�his�talk�about
�
improving�global�health�by�swallowing�a�Swedish�army
�bayonet,�"to�prove�that�the�seemingly�impossible�is�
possible,"�the�professor�said.�
The� influence� of� such� optimists� will� be� woven�
into� Mr.� Gates's� comments� today.� "In� the� coming�
decades�
we�will�have�astonishing�new�abilities�to�diagnose�illne
ss,�heal�disease,�educate�the�world's�children,�create�
opportunities�for�the�poor�and�harness�the�world's�brig
htest�minds�to�solve�our�most�difficult�problems,"�he�
will�say.�
Describing�himself�as�an�"impatient�optimist,"�Mr.�Gate
s�said�he�will�ask�each�of�his�Davos�listeners�to�tak
e�
up�a�"creative�capitalism"�project�in�the�coming�year.�
And�he�vows�to�keep�prodding�them.�"I�definitely�see,
�once�I'm�full�time�at�the�foundation,�reaching�out�to
�
various�industries�--
�going�to�cellphone�companies,�banks�and�more�pharma
�companies�--�and�talking�about�
how...they�can�do�these�things,"�he�said.�
Write�to�Robert�A.�Guth�at�[email protected]
7
�
The�article�reviews�some�of�the�key�controversies�surro
unding�the�role�and�obligation�of�big�business�in�
combating�global�poverty�(global�corporate�social�respon
sibility).�While�Gates�and�Prahalad�believe�that�
helping� the� poor� is� compatible� with� the� profit�
imperative,� many� others� remain� skeptical.� The�
article� is�
thus�an�excellent�springboard�for�discussion�of�social�r
esponsibilities�of�large�corporations.�
QUESTIONS:��
�
1.)�What�kind�of�"research"�has�Bill�Gates�carried�out
�about�the�nature�of�global�poverty?�What�sources�of�
information�did�he�draw�on�in�preparing�his�speech�fo
r�Davos?�
�
2.)�What�is�his�basic�analysis?�What�does�he�consider
�the�cause�of�such�poverty�to�be,�and�what�solution�
does�he�recommend?�
�
3.)�What�views�by�other�experts�run�contrary�to�Gates'
�ideas?�For�example,�why�do�some�experts�consider�
the�bottom�of�the�pyramid�to�be�inherently�unprofitable
?�What�other�criticisms�might�one�make�of�Gates'�
proposal?�
�
4.)�Finally,�what�is�your�view?�Does�the�fight�against
�poverty�require�a�reorientation�of�corporate�
capitalism?�Or�does�it�depend�largely�upon�efforts�und
ertaken�outside�the�realm�of�profit?�
�
mailto:[email protected]Bill Gates Issues Call For Kinder
Capitalism
gantthead.com
Sample Project Risk Register Template and Guide
Sample Project Risk Register Template and Guide
What is a Risk Register?
The Risk Register records details of all the risks identified at
the beginning and during the life of the project, their grading in
terms of likelihood of occurring and seriousness of impact on
the project, initial plans for mitigating each high level risk and
subsequent results. It usually includes:
· A unique identifier for each risk;
· A description of each risk and how it will affect the project;
· An assessment of the likelihood it will occur and the possible
seriousness/impact if it does occur (low, medium, high);
· A grading of each risk according to a risk assessment table
(see Table 1);
· Who is responsible for managing the risk;
· An outline of proposed mitigation actions (preventative and
contingency); and
· In larger projects, costs for each mitigation strategy.
This Register should be maintained throughout the project and
will change regularly as existing risks are re-graded in the light
of the effectiveness of the mitigation strategy, and new risks are
identified. In smaller projects, the Risk Register is often used as
the Risk Management Plan.
Why would you develop a Risk Register?
A Risk Register is developed to:
· Provide a useful tool for managing and reducing the risks
identified before and during the project;
· Document risk mitigation strategies being pursued in response
to the identified risks and their grading in terms of likelihood
and seriousness;.
· Provide the Project Sponsor, Steering Committee/senior
management with a documented framework from which risk
status can be reported;
· Ensure the communication of risk management issues to key
stakeholders;
· Provide a mechanism for seeking and acting on feedback to
encourage the involvement of the key stakeholders; and
· Identify the mitigation actions required for implementation of
the risk management plan and associated costs.
When would you develop a Risk Register?
Initial risks must be identified and graded according to
likelihood and seriousness very early in the Project. This initial
risk assessment will form part of the Project Proposal/Brief or
Project Business Case for the project. Once the project is
approved the Risk Register should be fully developed.
What you need before you start:
· Knowledge and understanding of the project.
· Knowledge and understanding of the Key Stakeholders.
· Knowledge and understanding of appropriate types of risk
management activities, or where to obtain them.
· Any of the following optional documents – Project
Proposal/Brief, Project Business Case, or Project Business Plan.
Optional:
· Departmental Project Management Guidelines.
· Corporate/Business Plan for the Department/Business Unit.
What you will have when you are finished:
A complete Project Risk Register that isready to be given due
consideration by the Project Sponsor and/or the Project Steering
Committee.
How to use this template?
The template consists of some headings and a table that reflects
the nature of the information that is to be addressed.
The completed Risk Register should be brief and to the point, so
it quickly conveys the essential information. It should be
updated on a regular basis, at least monthly.
The description of the risk should include the associated
consequences where these are not obvious. These consequences
can be useful in identifying appropriate mitigation actions. In
larger more complex projects, a separate column may be
required.
Mitigation actions should include such things as:
· Preventative actions - planned actions to reduce the likelihood
a risk will occur and/or reduce the seriousness should it occur.
(What should you do now?)
· Contingency actions - planned actions to reduce the immediate
seriousness of the risk when it does occur. (What should you do
when?)
· Recovery actions - planned actions taken once a risk has
occurred to allow you to move on. (What should you do after?)
The column for work breakdown structure (WBS) indicates that
the mitigation action has been added to the WBS; that is, it is
being acted upon.
A number of different text styles have been used within the
template, as follows:
· Text in italics is intended to provide a guide as to the kind of
information that can be included in a section and to what types
of projects it might be applicable.
· Text in normal font is intended as examples.
· Text enclosed in <angle brackets> is intended to be replaced
by whatever it is describing.
<Project Title>
File No.: <xxxxxxx>
Risk Register as at <MM/DD/YYYY>
Report for (Optional):
<e.g., Project Name Steering Committee, Inter Agency Steering
Committee (IASC)>
Project Manager:
<Name>
Project Scope:
<A brief description of the scope of the project >
Rating for Likelihood and Seriousness for each risk
L
Rated as Low
E
Rated as Extreme (Used for Seriousness only)
M
Rated as Medium
NA
Not Assessed
H
Rated as High
Grade: Combined effect of Likelihood/Seriousness
Seriousness
Likelihood
low
medium
high
EXTREME
low
E
D
C
A
medium
D
C
B
A
high
C
B
A
A
Recommended actions for grades of risk
Grade
Risk mitigation actions
A
Mitigation actions to reduce the likelihood and seriousness to be
identified and implemented as soon as the project commences.
B
Mitigation actions to reduce the likelihood and seriousness to be
identified and appropriate actions implemented during project
execution.
C
Mitigation actions to reduce the likelihood and seriousness to be
identified and costed for possible action if funds permit.
D
To be noted - no action is needed unless grading increases over
time.
E
To be noted - no action is needed unless grading increases over
time.
Change to Grade since last assessment
NEW
New risk
(
Grading decreased
—
No change to Grade
(
Grading increased
Id
Description of Risk
Identify Consequences
Likelihood
Seriousness
Grade
Change
Mitigation Actions
Responsible Officer
Cost
WBS
1.1
Inadequate funding to complete the project
M
M
B
NEW
Re-scope project, focusing on time and resourcing
Project Manager
NA
(
1.2
Lack of technical skills in Client Business Unit
H
H
A
↑
Develop training plan
Consultant
$2000
� In larger projects, the consequences of the threat may not be
evident, and noting them under each risk, or in a separate
column can be useful in identifying appropriate mitigation
actions.
� WBS = Work Breakdown Structure, this is to indicate that the
identified mitigation action has been included in the WBS
(workplan).
©2007 gantthead.com
1
©2007 gantthead.com
2
ID
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
WBS
1
1.1
1.1.1
1.1.1.1
1.1.1.2
1.1.1.3
1.2
1.2.1
1.2.1.1
1.2.1.2
1.2.1.3
1.2.1.4
1.2.2
1.2.2.1
1.2.2.2
1.2.2.3
1.2.2.4
1.2.3
1.2.3.1
1.2.3.2
1.2.3.3
1.2.3.4
1.2.3.5
32
1.2.3.6
1.2.4
1.2.4.1
1.2.4.2
1.2.4.3
1.2.5
1.2.6
1.3
1.3.1
r start FinrslT^
Harbor Printing Database Management System Mon 8/5/13 Thu
11/7/13
Requirements Documentation and Validation Tue 8/6/13 Thu
8/8/13
Validate Requirements collected during interview phase Tue
8/6/13 Thu 8/8/13
Conduct requirements validation meeting with stakehoTue
8/6/13 Tue 8/6/13
Prepare and present final requirements document Wed 8/7/13
Wed 8/7/13
Obtain requirements sign-off Thu 8/8/13 Thu 8/8/13
<Desigrr^ Fri 8/9/13 Fri 9/6/13
Design database Fri 8/9/13 Wed 8/14/13
Define entities Fri 8/9/13 Fri 8/9/13
Determine attributes Mon 8/12/13 Mon 8/12/13
Determine entity relationships Tue 8/13/13 Tue 8/13/13
Determine data validation/integrity rules Wed 8/14/13 Wed
8/14/13
Design application Thu 8/15/13 Mon 8/26/13
Design user interface Thu 8/15/13 Tue 8/20/13
Design business process logic layer Thu 8/15/13 Tue 8/20/13
Design queries and reports Wed 8/21/13 Fri 8/23/13
Design security structure Fri 8/23/13 Mon 8/26/13
Determine and Define Hardware Specifications Mon 8/26/13 Fri
9/6/13
Determine server specifications Mon 8/26/13 Tue 8/27/13
Determine workstation specifications Tue 8/27/13 Wed 8/28/13
Evaluate current workstations to determine if they will Wed
8/28/13 Thu 8/29/13
support new software
Document hardware specifications Thu 8/29/13 Fri 8/30/13
Evaluate feasibility of cloud based storage platform for Fri
8/30/13 Tue 9/3/13
graphics and other large files
Confirm client's hardware meets specifiations Tue 9/3/13 Fri
9/6/13
Design testing strategy Mon 8/26/13 Tue 9/3/13
Design application user acceptance test cases Mon 8/26/13 Tue
8/27/13
Design query/report user acceptance test cases Fri 8/30/13 Tue
9/3/13
Design security test cases Mon 8/26/13 Tue 8/27/13
Prepare and present design document Tue 9/3/13 Wed 9/4/13
Obtain client signoff of design Wed 9/4/13 Thu 9/5/13
Development Fri 9/6/13 Fri 10/4/13
Build database structure Fri 9/6/13 Thu 9/12/13
Work Predecessors
744 hrs
16 hrs
16 hrs
4 hrs
8 hrs 4
4 hrs 5
228 hrs
32 hrs
8 hrs 6
8 hrs 9
8 hrs 10
8 hrs 11
112 hrs
32 hrs 8
32 hrs 8
40 hrs 14,15
8 hrs 14,15,16
48 hrs
8 hrs 13,8
8 hrs 19
8 hrs 20
8 hrs 19,20,21
8 hrs 22
8 hrs 22,23
20 hrs
8 hrs 8,13
8 hrs 8,13
4 hrs 17
8 hrs 25
8 hrs 29
272 hrs
32 hrs
Stort Sliictf
1 day
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
0 days
5.17 days
5.17 days
1.17 days
5.17 days
1.17 days
1.17 days
0 days
0 days
Page 1
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ID
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
58
59
60
61
62
63
!WBS Task Name
i
1.3.1.1 Create entities
1.3.1.2 Define attributes
1.3.1.3 Define entity relationships
1.3.1.4 Develop validation/Integrity rules
1.3.2 Develop application
1.3.2.1 Develop user interface
1.3.2.2 Develop business process object layer
1.3.2.3 Connect user interfaces to business process layer
1.3.2.4 Create security structure
1.3.2.5 Develop queries and reports
1.4 Testing and Training
1.4.1 Install database and application software on client's
hardware
1.4.2 Upload test data
1.4.3 Establish and test connectivity to other systems
1.4.4 Estabish and test connectivity to cloud services {if
appropriate)
1.4.5 Train client testing team
11.4.6 Manage user acceptance testing
^;1.4.6.1 Oversee database management application test
|1.4.6.2 Oversee queries and reports test
Test graphic file storage and retrieval
Fix any bugs
Test fixes
User acceptance and sign off
Implementation
Reformat all disc drives and prepare system for final
software implementation
1.5.2 Install database and application software
1.5.3 Migrate or load data (automated)
1.5.4 Install any client side files on user workstations
1.5.5 Configure security
1.5.6 Train remaining users
1.6 Go Live
52 1.4.6.3
53 1.4.6.4
54 1.4.6.5
55 1.4.6.6
56 1.5
57 l . S . l
Start Finish Work Predecessors Start Slack
Fri 9/6/13
Mon 9/9/13
Tue 9/10/13
Wed 9/11/13
Thu 9/12/13
Thu 9/12/13
Thu 9/12/13
Thu 9/19/13
Thu 10/3/13
Mon 9/23/13
Fri 10/4/13
Fri 10/4/13
Mon 9/9/13
Tue 9/10/13
Wed 9/11/13
Thu 9/12/13
Fri 10/4/13
Thu 9/19/13
Thu 9/19/13
Mon 9/23/13
Fri 10/4/13
Thu 10/3/13
Tue 10/29/13
Tue 10/8/13
8 hrs 7 Odays
8 hrs7,33 Odays
8 hrs 7,34 Odays
8 hrs7,35 Odays
240 hrs 0 days
40 hrs 32,7 Odays
40 hrs 7,32 0 days
32 hrs7,32,38,39 Odays
8 hrs7,40,42 Odays
120 hrs 7,40,32 0 days
152 hrs 0 days
16 h r s 3 1 Odays
Tue 10/8/13
Tue 10/8/13
Tue 10/8/13
Wed 10/9/13
Mon 10/14/13
Mon 10/14/13
Mon 10/21/13
Mon 10/14/13
Wed 10/23/13
Mon 10/28/13
Tue 10/29/13
Tue 10/29/13
Tue 10/29/13
Wed 10/9/13
Tue 10/8/13
Tue 10/8/13
Mon 10/14/13
Tue 10/29/13
Wed 10/16/13
Wed 10/23/13
Tue 10/15/13
Mon 10/28/13
Tue 10/29/13
Tue 10/29/13
Wed 11/5/13
Thu 10/31/13
8 hrs 44 0 days
4 hrs 44 0.5 days
4 hrs 44 0.5 days
24 hrs44,45,46,47 Odays
96 hrs 5 days
16 hrs 31,47,48 5 days
16 hrs 31,47,48 Odays
4 hrs 47,48 6 days
48 hrs50,51,52 Odays
8 hrs53 Odays
4 hrs54 Odays
64 hrs 0 days
16 hrs55 Odays
Thu 10/31/13
Fri 11/1/13
Mon 11/4/13
Mon 11/4/13
Tue 11/5/13
Wed 11/6/13
Fri 11/1/13
Mon 11/4/13
Tue 11/5/13
Tue 11/5/13
Wed 11/6/13
Thu 11/7/13
16 hrs 55,57
8 hrs 58
8 hrs 59
8 hrs 59
8 hrs 6 1
12 hrs 56
0 days
0 days
1 day
0 days
0 days
0 days
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1BillGatesIssuesCallForKinderCapitalismFamousl.docx

  • 1. � 1� Bill�Gates�Issues�Call�For�Kinder�Capitalism� Famously�Competitive,�� Billionaire�Now�Urges�� Business�to�Aid�the�Poor� By�ROBERT�A.�GUTH� January�24,�2008;�Page�A1� Free� enterprise� has� been� good� to� Bill� Gates.� But� today,� the� Microsoft� Corp.� chairman� will� call� for� a� revision�of�capitalism.� In� a� speech� at� the� World� Economic� Forum� in� Davos,� Switzerland,� the� software� tycoon� plans� to� call� for� a� "creative�capitalism"�that�uses�market�forces�to�address �poor-country�needs�that�he�feels�are�being�ignored.� "We�have�to�find�a�way�to�make�the�aspects�of�capit alism�that�serve�wealthier�people�serve�poorer�people�a s� well,"�Mr.�Gates� will�tell� world�leaders�at�the� forum,�according�to�a�copy�of�the�speech�seen�by�Th e�Wall� Street�Journal.� Mr.� Gates� isn't� abandoning� his� belief� in� capitalism� as� the� best� economic� system.� But� in� an� interview� with� the� Journal� last� week� at� his� Microsoft� office� in�
  • 2. Redmond,� Wash.,� Mr.� Gates� said� that� he� has� grown� impatient� with� the� shortcomings� of� capitalism.� He� said� he� has� seen� those� failings� first-hand� on� trips� for� Microsoft�to�places�like�the� South� African�slum�of�Soweto,�and�discussed�them� with�dozens�of�experts�on� disease�and�poverty.�He�has�voraciously�read�about�tho se�failings�in�books�that�propose�new�approaches�to� narrowing�the�gap�between�rich�and�poor.� In�particular,�he�said,�he's�troubled�that�advances�in�te chnology,�health�care�and�education�tend�to�help�the� rich�and�bypass�the�poor.�"The�rate�of�improvement�fo r�the�third�that�is�better�off�is�pretty�rapid,"�he�said. � "The�part�that's�unsatisfactory�is�for�the�bottom�third� --�two�billion�of�six�billion."� Three�weeks�ago,�on�a�flight�home�from�a�New�Zeala nd�vacation,�Mr.�Gates�took�out�a�yellow�pad�of�pape r� and�listed�ideas�about�why�capitalism,�while�so�good�f or�so�many,�is�failing�much�of�the�world.�He�refined � those� thoughts� into� the� speech� he� will� give� today� at� the� annual� Davos� conference� of� world� leaders� in� business,�politics�and�nonprofit�organizations.� Among�the� fixes�he�plans�to�call�for:�Companies�should�create�bu sinesses�that�focus�on� building�products� and� services� for� the� poor.� "Such� a� system� would� have� a� twin� mission:� making� profits� and� also�
  • 3. improving� lives�for�those�who�don't�fully�benefit�from�market�for ces,"�he�plans�to�say.� Mr.�Gates's�Davos�speech�offers�some�insight�into�his� goals�as�he�prepares�to�retire�in�June�from�full-time� work� at� Microsoft� --� where� he� will� remain� chairman� --� and� focus� on� his� philanthropy,� the� Bill� &� Melinda� Gates�Foundation.� Mr.� Gates� sees� a� role� for� himself� spurring� companies� into� action,� he� said� in� the� interview.� "The� idea� that� you�encourage�companies�to�take�their�innovative�thinke rs�and�think�about�the�most�needy�--�even�beyond� the�market�opportunities�-- �that's�something�that�appropriately�ought�to�be�done," �he�said.� His�thoughts�on�philanthropy�are�closely�heeded�becaus e�of�the�business�success�that� made�Mr.�Gates�one� of�the�world's�richest�men.�His�eight-year- old�charity�is�expanding�rapidly� following�the� 2006�decision�by� Warren�Buffett�to�leave�his�fortune�to�the�foundation.� That�donation,�at�the�time�valued�at�about�$31�billion, � increases�to�some�$70�billion�the�hoard�Mr.�Gates�say s�will�be�given�away�within�50�years�of�the�deaths�o f� him�and�his�wife.� � 2�
  • 4. � � � � � � � � � � Serving�the�Poor� But� Mr.� Gates's� argument� for� the� potential� profitability� of� serving� the� poor� is� certain� to� raise� skepticism.� "There's� a� lot� of� people� at� the� bottom� of� the� pyramid� but� the� size� of� the� transactions� is� so� small� it� is� not� worth� it� for� private� business� most� of� the� time,"� says� William� Easterly,� a� New� York� University� professor� and�former�World�Bank�economist.� Others�may�point�out�that�poverty�became�a�priority�f or�Mr.�Gates�only�after� he'd�earned�billions�building� Microsoft�into�a�global�giant.�
  • 5. Mr.�Gates�acknowledges�that�Microsoft�early�on�was�h ardly�a�charity.�"We�weren't�focused�on�the�needs�of� the� neediest,"� he� said,� "although� low-cost� personal� computing� certainly� is� a� tool� for� drug� discovery� and� things�that�have�had�this�very�pervasive�effect,�includi ng�the�rise�of�the�Internet,"�he�said.� Although�Microsoft�has�had�an�active�philanthropic�arm �for�two�decades,�only�in�2006�did�it�start�seriously� experimenting�with�software�in�poorer�counties�in�ways �that�would�fit�Mr.�Gates's�creative�capitalism�idea.� Under�that�2006�program,� handled�by�about�180�Microsoft� employees,� the� company� offers� stripped-down� software�and�alternative�ways�of�paying�for�PCs�to�po orer�countries.� With�today's�speech,�Mr.�Gates�adds�his�high- profile�name�to�the�ranks�of�those�who�argue�that�unf ettered� capitalism�can't�solve�broad�social�problems.�Muhammad �Yunus,�the�Bangladeshi�economist� who�won�the� 2006� Nobel� Peace�Prize� for� his� work� providing� small� loans� to� the� poor,� is� traversing� the� U.S.� this� month� promoting�a�new�book�that�calls�capitalism�"half�devel oped"�because�it�focuses�only�on�the�profit-oriented� side�of�human�nature,�not�on�the�satisfaction�derived�f rom�helping�others.� Key�to�Mr.�Gates's�plan�will�be�for�businesses�to�ded icate�their�top�people�to�poor�issues�-- �an�approach�he� feels� is� more� powerful� than� traditional� corporate�
  • 6. donations� and� volunteer� work.� Governments� should� set� policies�and�disburse�funds�to�create�financial�incentive s�for�businesses�to�improve�the�lives�of�the�poor,�he � plans�to�say�today.�"If�we�can�spend�the�early�decade s�of�the�21st�century�finding�approaches�that�meet�the � needs�of�the�poor�in�ways�that�generate�profits�for�bu siness,�we�will�have�found�a�sustainable�way�to�reduc e� poverty�in�the�world,"�Mr.�Gates�plans�to�say.� � 3� In�the�interview,�Mr.�Gates�was�emphatic�that�he's�not �calling�for�a�fundamental�change�in�how�capitalism� works.� He� cited� Adam� Smith,� whose� treatise,� "The�Wealth� of� Nations,"� lays� out� the� rationale� for� the� self- interest� that� drives� capitalism� and� companies� like�Microsoft.�That� shouldn't� change,� "one� iota,"� Mr.� Gates� said.� But�there's�more�to�Adam�Smith,�he�added.�"This�was �written�before�'Wealth�of�Nations,'"�Mr.�Gates�said,� flipping� through� a� copy� of� Adam� Smith's� 1759� book,� "The� Theory� of� Moral� Sentiments."� It� argues� that� humans� gain� pleasure� from� taking� an� interest� in� the� "fortunes� of� others."� Mr.� Gates� will� quote� from� that� book�in�his�speech�today.�
  • 7. Talk� of� "moral� sentiments"� may� seem� surprising� from� a� man� whose� competitive� drive� is� so� fierce� that� it� drew�legal�challenges�from�antitrust�authorities.�But�Mr. �Gates�said�his�thinking�about�capitalism�has�been� evolving� for� years.� He� outlined� part� of� his� evolution� from�software�titan�to�philanthropist�in�a�speech�last� June� to� Harvard's� graduating� class,� recounting� how� when� he� left� Harvard� in� 1975� he� knew� little� of� the� inequities� in� the� world.� A� range� of� experiences� including� trips� to� Africa� and� India� have� helped� raise� that� awareness.� In� the� Harvard� speech,� Mr.� Gates� floated� the� idea� of� "creative� capitalism."� But� at� the� time� he� had� only� a� "fuzzy"�sense�of�what�he�meant.�To�clarify�his�thinkin g,�he�decided�to�prepare�the�Davos�speech.� On�Jan.�1,�following�a�family�vacation,�Mr.�Gates�boa rded�a�commercial�flight�in�Auckland,�New�Zealand,� and�during�the�21-hour,�two- layover�journey�back�to�Seattle�he�started�writing�his� speech.� The�Sword�Swallower� He�drew�from�influences�ranging�from�the�leading�thin kers�on�capitalism�and�a�sword-swallowing�Swedish� health�expert�to�Norman�Borlaug,�the�plant�pathologist� who�won�the�1970�Nobel�Peace�Prize�for�his�role�in � the�Green�Revolution�that�boosted�food�production.�A�l
  • 8. ong�talk�with�his�wife,�Melinda,�in�the�first�week�of � January�also�helped�shape�the�speech,�said�Mr.�Gates.� In�setting�up�his�foundation�in�2000,�Mr.�Gates�unders tood�that�widespread�criticism�existed�of�programs�to� help� the� poor.� U.S.� aid� had� often� been� motivated� by� broader� Cold� War� goals� and� often� had� failed� to� advance� living� conditions� for� the� world's� poor.� Successful� programs,� such� as� the� Green� Revolution,� were� overshadowed�by�growing�awareness�of�their�negative�si de�effects�on�the�environment�and�local�cultures.� Meanwhile,�companies�including�Microsoft�had�donated� huge�amounts�of�cash�and�products�to�developing� countries�without�seeking�to�create�sustainable�growth.� Free�Microsoft�software�in�some�countries�spawned� broad�usage�of�computers,�while�in�"other�places�you� announce�a�big�free�software�grant,�come�back�a�few � years�later,�nothing,"�Mr.�Gates�said.� His�growing�awareness�of�such�limits�sparked�new�idea s�on�how�businesses�could�approach�poor�countries.� At�a�dinner�near�Seattle�in�2004,�Mr.�Gates�met�one �of�the�leading�thinkers�on�that�front,�C.K.�Prahalad,� a� University� of� Michigan� professor� who� had� written� "The� Fortune� at� the� Bottom� of� the� Pyramid."� In� that� article�and�a�subsequent�book�by�the�same�title,�Mr.� Prahalad�proposed�that�the�world's�four�billion�poorest� people�represented�a�huge�market�for�companies�willing �to�try.�
  • 9. Other� books� influencing� Mr.� Gates� included� "The� Mystery� of� Capital"� and� "Good� Capitalism,� Bad� Capitalism� and� the� Economics� of� Growth� and� Prosperity"� and� "The� Bottom� Billion."� This� reading� helped� inform� Mr.� Gates's� belief� that� leading� companies� should� find� ways� to� sell� to� and� work� with� the� poorest.� "You�have�people�who�are�inciting�companies�to�say,�' Look,�this�is�a�lot�of�people,'"�Mr.�Gates�said.� Mr.� Gates� in� his� speech� will� note� several� programs� that� "stretch� the� reach� of� market� forces,"� including� a� World�Health�Organization�venture�with�an�Indian�vacci ne�maker�to�sell�a�meningitis�vaccine�in�Africa�for� � 4� far� less� than� existing� vaccines.� He� will� also� highlight� a� new� program� designed� to� give� African� coffee� farmers� better� access� to� coffee� buyers� in� rich� counties.� "We� don't� need� some� dramatic� big� new� tax� or� requirement,"�Mr.�Gates�said�in�the�interview.�"What� we�need�is�the�recognition�of�the�creativity� here�that� some�of�the�leaders�are�exercising."� To� a� degree,� Mr.� Gates's� speech� is� an� answer� to� critics� of� rich-country� efforts� to� help� the� poor.� One�
  • 10. perennial�critic�is�Mr.�Easterly,�the�New� York�University� professor,� whose� 2006�book,�"The� White� Man's� Burden,"� found� little� evidence� of� benefit� from� the� $2.3� trillion� given� in� foreign� aid� over� the� past� five� decades.� Mr.� Gates� said� he� hated� the� book.� His� feelings� surfaced� in� January� 2007� during� a� Davos� panel� discussion� with�Mr.�Easterly,�Liberian�President�Ellen�Johnson�Sirl eaf�and�then-World�Bank�chief�Paul�Wolfowitz.�To� a� packed� room� of� Davos� attendees,� Mr.� Easterly� noted� that� all� the� aid� given� to� Africa� over� the� years� has� failed�to� stimulate�economic� growth�on�the�continent.�Mr.� Gates,� his� voice�rising,� snapped�back�that�there� are� measures�of�success�other�than�economic�growth�-- �such�as�rising�literacy�rates�or�lives�saved�through� smallpox� vaccines.� "I� don't� promise� that� when� a� kid� lives� it� will� cause� a� GNP� increase,"� he� quipped.� "I� think�life�has�value."� Brushing� off� Mr.� Gates's� comments,� Mr.� Easterly� responds,� "The� vested� interests� in� aid� are� so� powerful� they�resist�change�and�they�ignore�criticism.�It�is�so� good�to�try�to�help�the�poor�but�there�is�this�feeling �that� [philanthropists]�should�be�immune�from�criticism."� �
  • 11. � � � � � � � � � � � Belief�in�Technology� A� core� belief� of� Mr.� Gates� is� that� technology� can� erase� problems� that� seem� intractable.� That� belief� was� deepened,� Mr.� Gates� says,� by� his� study� of� Julian� Simon,� a� now-deceased� business� professor� who� argued� that�increases�in�wealth�and�technology�would�offset�sh ortages�in�energy,�food�and�other�global�resources.� � 5�
  • 12. Pacing� in� his� office� last� week,� Mr.� Gates� retold� the� story� of� a� famous� $10,000� wager� between� Mr.� Simon� and� Paul� Ehrlich,� a� Stanford� University� professor� who� predicted� that� human� population� growth� would� outstrip�the�earth's�resources.�Mr.�Simon�bet�that�even �as�a�growing�population�increased�demand�for�metals � such� as� tin� and� copper,� the� price� of� those� metals� would� fall� within� the� decade� ending� in� 1990.� Mr.� Simon� won�the�bet.�"He�cremated�the�guy,"�says�Mr.�Gates.� Mr.�Ehrlich's�administrator�at�Stanford�University�said� he�was�out�of�the�country�and�couldn't�comment�on�t he�wager.� In�early�2006,�Mr.�Gates�found�further�evidence�of�an �improving�world�in�the�online�video�of�Hans�Rosling, � a�Swedish�professor�of�international�health.�In�the�vide o,�Prof.�Rosling�used�an�enormous�animated�graph�to� show�that�in�the�previous�four�decades�life�expectancy �and�family�size�in�developing�countries�had�come�to � approach�the�levels�of�developed�countries.� The� video� so� inspired� Mr.� Gates� that� he� bought� dozens� of� copies� of� Prof.� Rosling's� textbook� on� global� health.�Watching�Prof.�Rosling's�most�recent�video�last �year,�Mr.�Gates�saw�the�professor�end�his�talk�about � improving�global�health�by�swallowing�a�Swedish�army �bayonet,�"to�prove�that�the�seemingly�impossible�is� possible,"�the�professor�said.�
  • 13. The� influence� of� such� optimists� will� be� woven� into� Mr.� Gates's� comments� today.� "In� the� coming� decades� we�will�have�astonishing�new�abilities�to�diagnose�illne ss,�heal�disease,�educate�the�world's�children,�create� opportunities�for�the�poor�and�harness�the�world's�brig htest�minds�to�solve�our�most�difficult�problems,"�he� will�say.� Describing�himself�as�an�"impatient�optimist,"�Mr.�Gate s�said�he�will�ask�each�of�his�Davos�listeners�to�tak e� up�a�"creative�capitalism"�project�in�the�coming�year.� And�he�vows�to�keep�prodding�them.�"I�definitely�see, �once�I'm�full�time�at�the�foundation,�reaching�out�to � various�industries�-- �going�to�cellphone�companies,�banks�and�more�pharma �companies�--�and�talking�about� how...they�can�do�these�things,"�he�said.� Write�to�Robert�A.�Guth�at�[email protected] 7 � The�article�reviews�some�of�the�key�controversies�surro unding�the�role�and�obligation�of�big�business�in� combating�global�poverty�(global�corporate�social�respon sibility).�While�Gates�and�Prahalad�believe�that� helping� the� poor� is� compatible� with� the� profit� imperative,� many� others� remain� skeptical.� The� article� is� thus�an�excellent�springboard�for�discussion�of�social�r esponsibilities�of�large�corporations.�
  • 14. QUESTIONS:�� � 1.)�What�kind�of�"research"�has�Bill�Gates�carried�out �about�the�nature�of�global�poverty?�What�sources�of� information�did�he�draw�on�in�preparing�his�speech�fo r�Davos?� � 2.)�What�is�his�basic�analysis?�What�does�he�consider �the�cause�of�such�poverty�to�be,�and�what�solution� does�he�recommend?� � 3.)�What�views�by�other�experts�run�contrary�to�Gates' �ideas?�For�example,�why�do�some�experts�consider� the�bottom�of�the�pyramid�to�be�inherently�unprofitable ?�What�other�criticisms�might�one�make�of�Gates'� proposal?� � 4.)�Finally,�what�is�your�view?�Does�the�fight�against �poverty�require�a�reorientation�of�corporate� capitalism?�Or�does�it�depend�largely�upon�efforts�und ertaken�outside�the�realm�of�profit?� � mailto:[email protected]Bill Gates Issues Call For Kinder Capitalism gantthead.com Sample Project Risk Register Template and Guide Sample Project Risk Register Template and Guide What is a Risk Register?
  • 15. The Risk Register records details of all the risks identified at the beginning and during the life of the project, their grading in terms of likelihood of occurring and seriousness of impact on the project, initial plans for mitigating each high level risk and subsequent results. It usually includes: · A unique identifier for each risk; · A description of each risk and how it will affect the project; · An assessment of the likelihood it will occur and the possible seriousness/impact if it does occur (low, medium, high); · A grading of each risk according to a risk assessment table (see Table 1); · Who is responsible for managing the risk; · An outline of proposed mitigation actions (preventative and contingency); and · In larger projects, costs for each mitigation strategy. This Register should be maintained throughout the project and will change regularly as existing risks are re-graded in the light of the effectiveness of the mitigation strategy, and new risks are identified. In smaller projects, the Risk Register is often used as the Risk Management Plan. Why would you develop a Risk Register? A Risk Register is developed to: · Provide a useful tool for managing and reducing the risks identified before and during the project;
  • 16. · Document risk mitigation strategies being pursued in response to the identified risks and their grading in terms of likelihood and seriousness;. · Provide the Project Sponsor, Steering Committee/senior management with a documented framework from which risk status can be reported; · Ensure the communication of risk management issues to key stakeholders; · Provide a mechanism for seeking and acting on feedback to encourage the involvement of the key stakeholders; and · Identify the mitigation actions required for implementation of the risk management plan and associated costs. When would you develop a Risk Register? Initial risks must be identified and graded according to likelihood and seriousness very early in the Project. This initial risk assessment will form part of the Project Proposal/Brief or Project Business Case for the project. Once the project is approved the Risk Register should be fully developed. What you need before you start: · Knowledge and understanding of the project. · Knowledge and understanding of the Key Stakeholders. · Knowledge and understanding of appropriate types of risk management activities, or where to obtain them. · Any of the following optional documents – Project Proposal/Brief, Project Business Case, or Project Business Plan.
  • 17. Optional: · Departmental Project Management Guidelines. · Corporate/Business Plan for the Department/Business Unit. What you will have when you are finished: A complete Project Risk Register that isready to be given due consideration by the Project Sponsor and/or the Project Steering Committee. How to use this template? The template consists of some headings and a table that reflects the nature of the information that is to be addressed. The completed Risk Register should be brief and to the point, so it quickly conveys the essential information. It should be updated on a regular basis, at least monthly. The description of the risk should include the associated consequences where these are not obvious. These consequences can be useful in identifying appropriate mitigation actions. In larger more complex projects, a separate column may be required. Mitigation actions should include such things as: · Preventative actions - planned actions to reduce the likelihood a risk will occur and/or reduce the seriousness should it occur. (What should you do now?) · Contingency actions - planned actions to reduce the immediate seriousness of the risk when it does occur. (What should you do
  • 18. when?) · Recovery actions - planned actions taken once a risk has occurred to allow you to move on. (What should you do after?) The column for work breakdown structure (WBS) indicates that the mitigation action has been added to the WBS; that is, it is being acted upon. A number of different text styles have been used within the template, as follows: · Text in italics is intended to provide a guide as to the kind of information that can be included in a section and to what types of projects it might be applicable. · Text in normal font is intended as examples. · Text enclosed in <angle brackets> is intended to be replaced by whatever it is describing. <Project Title> File No.: <xxxxxxx> Risk Register as at <MM/DD/YYYY> Report for (Optional): <e.g., Project Name Steering Committee, Inter Agency Steering Committee (IASC)> Project Manager: <Name> Project Scope: <A brief description of the scope of the project > Rating for Likelihood and Seriousness for each risk L Rated as Low E Rated as Extreme (Used for Seriousness only)
  • 19. M Rated as Medium NA Not Assessed H Rated as High Grade: Combined effect of Likelihood/Seriousness Seriousness Likelihood low medium high EXTREME low E D C A medium D C B A high C B A A Recommended actions for grades of risk
  • 20. Grade Risk mitigation actions A Mitigation actions to reduce the likelihood and seriousness to be identified and implemented as soon as the project commences. B Mitigation actions to reduce the likelihood and seriousness to be identified and appropriate actions implemented during project execution. C Mitigation actions to reduce the likelihood and seriousness to be identified and costed for possible action if funds permit. D To be noted - no action is needed unless grading increases over time. E To be noted - no action is needed unless grading increases over time. Change to Grade since last assessment NEW New risk ( Grading decreased — No change to Grade ( Grading increased Id Description of Risk Identify Consequences Likelihood Seriousness
  • 21. Grade Change Mitigation Actions Responsible Officer Cost WBS 1.1 Inadequate funding to complete the project M M B NEW Re-scope project, focusing on time and resourcing Project Manager NA ( 1.2 Lack of technical skills in Client Business Unit H H A ↑ Develop training plan Consultant $2000
  • 22. � In larger projects, the consequences of the threat may not be evident, and noting them under each risk, or in a separate column can be useful in identifying appropriate mitigation actions. � WBS = Work Breakdown Structure, this is to indicate that the identified mitigation action has been included in the WBS (workplan).
  • 25. 1.3 1.3.1 r start FinrslT^ Harbor Printing Database Management System Mon 8/5/13 Thu 11/7/13 Requirements Documentation and Validation Tue 8/6/13 Thu 8/8/13 Validate Requirements collected during interview phase Tue 8/6/13 Thu 8/8/13 Conduct requirements validation meeting with stakehoTue 8/6/13 Tue 8/6/13 Prepare and present final requirements document Wed 8/7/13 Wed 8/7/13 Obtain requirements sign-off Thu 8/8/13 Thu 8/8/13 <Desigrr^ Fri 8/9/13 Fri 9/6/13 Design database Fri 8/9/13 Wed 8/14/13 Define entities Fri 8/9/13 Fri 8/9/13 Determine attributes Mon 8/12/13 Mon 8/12/13 Determine entity relationships Tue 8/13/13 Tue 8/13/13 Determine data validation/integrity rules Wed 8/14/13 Wed 8/14/13 Design application Thu 8/15/13 Mon 8/26/13 Design user interface Thu 8/15/13 Tue 8/20/13 Design business process logic layer Thu 8/15/13 Tue 8/20/13 Design queries and reports Wed 8/21/13 Fri 8/23/13 Design security structure Fri 8/23/13 Mon 8/26/13 Determine and Define Hardware Specifications Mon 8/26/13 Fri 9/6/13 Determine server specifications Mon 8/26/13 Tue 8/27/13
  • 26. Determine workstation specifications Tue 8/27/13 Wed 8/28/13 Evaluate current workstations to determine if they will Wed 8/28/13 Thu 8/29/13 support new software Document hardware specifications Thu 8/29/13 Fri 8/30/13 Evaluate feasibility of cloud based storage platform for Fri 8/30/13 Tue 9/3/13 graphics and other large files Confirm client's hardware meets specifiations Tue 9/3/13 Fri 9/6/13 Design testing strategy Mon 8/26/13 Tue 9/3/13 Design application user acceptance test cases Mon 8/26/13 Tue 8/27/13 Design query/report user acceptance test cases Fri 8/30/13 Tue 9/3/13 Design security test cases Mon 8/26/13 Tue 8/27/13 Prepare and present design document Tue 9/3/13 Wed 9/4/13 Obtain client signoff of design Wed 9/4/13 Thu 9/5/13 Development Fri 9/6/13 Fri 10/4/13 Build database structure Fri 9/6/13 Thu 9/12/13 Work Predecessors 744 hrs 16 hrs 16 hrs 4 hrs 8 hrs 4 4 hrs 5 228 hrs 32 hrs
  • 27. 8 hrs 6 8 hrs 9 8 hrs 10 8 hrs 11 112 hrs 32 hrs 8 32 hrs 8 40 hrs 14,15 8 hrs 14,15,16 48 hrs 8 hrs 13,8 8 hrs 19 8 hrs 20 8 hrs 19,20,21 8 hrs 22 8 hrs 22,23 20 hrs 8 hrs 8,13 8 hrs 8,13 4 hrs 17 8 hrs 25 8 hrs 29 272 hrs 32 hrs Stort Sliictf 1 day
  • 28. 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 0 days 5.17 days 5.17 days 1.17 days 5.17 days 1.17 days 1.17 days 0 days 0 days Page 1
  • 31. 1.3.1.3 Define entity relationships 1.3.1.4 Develop validation/Integrity rules 1.3.2 Develop application 1.3.2.1 Develop user interface 1.3.2.2 Develop business process object layer 1.3.2.3 Connect user interfaces to business process layer 1.3.2.4 Create security structure 1.3.2.5 Develop queries and reports 1.4 Testing and Training 1.4.1 Install database and application software on client's hardware 1.4.2 Upload test data 1.4.3 Establish and test connectivity to other systems 1.4.4 Estabish and test connectivity to cloud services {if appropriate) 1.4.5 Train client testing team 11.4.6 Manage user acceptance testing ^;1.4.6.1 Oversee database management application test |1.4.6.2 Oversee queries and reports test Test graphic file storage and retrieval Fix any bugs Test fixes User acceptance and sign off Implementation Reformat all disc drives and prepare system for final software implementation 1.5.2 Install database and application software 1.5.3 Migrate or load data (automated) 1.5.4 Install any client side files on user workstations 1.5.5 Configure security
  • 32. 1.5.6 Train remaining users 1.6 Go Live 52 1.4.6.3 53 1.4.6.4 54 1.4.6.5 55 1.4.6.6 56 1.5 57 l . S . l Start Finish Work Predecessors Start Slack Fri 9/6/13 Mon 9/9/13 Tue 9/10/13 Wed 9/11/13 Thu 9/12/13 Thu 9/12/13 Thu 9/12/13 Thu 9/19/13 Thu 10/3/13 Mon 9/23/13 Fri 10/4/13 Fri 10/4/13 Mon 9/9/13 Tue 9/10/13 Wed 9/11/13 Thu 9/12/13 Fri 10/4/13 Thu 9/19/13 Thu 9/19/13 Mon 9/23/13 Fri 10/4/13 Thu 10/3/13 Tue 10/29/13
  • 33. Tue 10/8/13 8 hrs 7 Odays 8 hrs7,33 Odays 8 hrs 7,34 Odays 8 hrs7,35 Odays 240 hrs 0 days 40 hrs 32,7 Odays 40 hrs 7,32 0 days 32 hrs7,32,38,39 Odays 8 hrs7,40,42 Odays 120 hrs 7,40,32 0 days 152 hrs 0 days 16 h r s 3 1 Odays Tue 10/8/13 Tue 10/8/13 Tue 10/8/13 Wed 10/9/13 Mon 10/14/13 Mon 10/14/13 Mon 10/21/13 Mon 10/14/13 Wed 10/23/13 Mon 10/28/13 Tue 10/29/13 Tue 10/29/13 Tue 10/29/13 Wed 10/9/13 Tue 10/8/13 Tue 10/8/13
  • 34. Mon 10/14/13 Tue 10/29/13 Wed 10/16/13 Wed 10/23/13 Tue 10/15/13 Mon 10/28/13 Tue 10/29/13 Tue 10/29/13 Wed 11/5/13 Thu 10/31/13 8 hrs 44 0 days 4 hrs 44 0.5 days 4 hrs 44 0.5 days 24 hrs44,45,46,47 Odays 96 hrs 5 days 16 hrs 31,47,48 5 days 16 hrs 31,47,48 Odays 4 hrs 47,48 6 days 48 hrs50,51,52 Odays 8 hrs53 Odays 4 hrs54 Odays 64 hrs 0 days 16 hrs55 Odays Thu 10/31/13 Fri 11/1/13 Mon 11/4/13 Mon 11/4/13 Tue 11/5/13 Wed 11/6/13
  • 35. Fri 11/1/13 Mon 11/4/13 Tue 11/5/13 Tue 11/5/13 Wed 11/6/13 Thu 11/7/13 16 hrs 55,57 8 hrs 58 8 hrs 59 8 hrs 59 8 hrs 6 1 12 hrs 56 0 days 0 days 1 day 0 days 0 days 0 days Page 2 mb Highlight mb Highlight mb Highlight mb