Manage risk in product and process development and avoid unpleasant surprises

Abstract

There are many examples reported in the media of major engineering and development projects running late or exceeding their budget. Sometimes, the consequences have been so serious that they have threatened the future of the companies involved. Highly visible, high-profile projects do not, however, have a monopoly on failure. For every major project which hits the headlines, there are thousands of others which fail in less spectacular ways. The author describes PA Consulting Group's three step process for a structured approach to project development. These are: identify the risks, assess the likelihood and the impact of potential risks, and develop risk management plans.