Customisable framework for project risk management

2017 ◽  
Vol 17 (1) ◽  
pp. 68-89 ◽  
Author(s):  
Jennifer Firmenich
Keyword(s):  
Risk Management ◽  
Management Practices ◽  
New Institutional Economics ◽  
Future Research ◽  
Project Risk Management ◽  
Management Process ◽  
Project Risk ◽  
Content Type ◽  
Risk Management Process ◽  
Management Concepts

Purpose The purpose of this paper is to emphasise on the need for efficient and effective project risk management practices and to support project managers in increasing the cost certainty of projects by proposing a new framework for project risk management. Design/methodology/approach The author adopts a “constructivist” methodology, drawing on practices common in construction management sciences and new institutional economics. Findings The author presents a holistic and customisable project risk management framework that is grounded in both practice and academia. The framework is holistic because, amongst others, all steps of the typical risk management process are addressed. The framework is customisable, because it allows for alternative ways of implementing the project risk management steps depending on the project-specific circumstances. Research limitations/implications The framework does not address the potential unwillingness of the project players to set up a project risk management process, at all. The proposed framework has not yet been tested empirically. Future research will seek to validate the framework. Originality/value The framework is designed to account for the difficult circumstances of a complex construction project. It is intended to support decision makers in customising a practical yet comprehensive project risk management concept to the characteristics of the unique project. Although many other project risk management concepts are designed based on the assumption that actors are perfectly rational and informed, this framework’s design is based on the opposite assumption. The framework is dynamic and should adapt over time.

Measuring project risk management process for construction contractors with statement indicators linked to numerical scores

2010 ◽  
Vol 17 (4) ◽  
pp. 336-351 ◽  
Author(s):  
Grant Kululanga ◽  
Witness Kuotcha
Keyword(s):  
Risk Management ◽  
Construction Industry ◽  
Management Practices ◽  
Project Risk Management ◽  
Management Process ◽  
Project Risk ◽  
Content Type ◽  
Management Processes ◽  
Risk Management Process ◽  
Sub Saharan

PurposeThere is relatively low implementation of formal project risk management methods in practice, leading to the construction industry consistently suffering from poor project performance. This study aims to ascertain the extent to which current project risk management practices are used by construction contractors in one of the countries of the sub‐Saharan region – Malawi.Design/methodology/approachA management process tool with statement indicators linked to numerical scores was conceived that characterised a series of steps of project risk management process. To ascertain the degree to which project risk management processes were used, a questionnaire survey was employed. Data were elicited from registered Malawian construction contractors on the elements underlining a series of steps of project risk management process as espoused by the literature. Out of 84 sampled construction contractors, 51 completed questionnaires were received.FindingsApart from large‐sized and more experienced construction contractors, all the small and medium‐sized construction contractors – which constitute the largest proportion of the construction industry – were characterised by a low implementation of the various required steps for the project risk management process. The application of project risk management processes was significantly influenced by the various categories of size and experience of the surveyed construction contractors at p<0.01. Furthermore, contingence planning within the series of steps of project risk management process featured highly among the surveyed construction contractors. The majority of the variables under the series of steps of project risk management process were positively and significantly linked to progression in size and experience of construction contractors at p<0.01.Research limitations/implicationsThe study forms the basis for further research; replication of this study to other parts of world about how the actual implementation of the series of steps of project risk management process is undertaken could yield rich lessons for the construction industry.Practical implicationsThe intentional move by industry towards measuring management processes as a precursor to uncovering the root causes that underlie project success or failure to provide quick feedback for remedial action is supported by an approach such as this.Originality/valueThe originality of this paper lies in its uniqueness for a systematic approach to quantifying the project risk management processes with the view to understanding the implementation behaviours of construction contractors in one country in the sub‐Saharan region.

Cyber risk management in SMEs: insights from industry surveys

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Felicitas Hoppe ◽  
Nadine Gatzert ◽  
Petra Gruner
Keyword(s):  
Risk Management ◽  
Cyber Security ◽  
Future Research ◽  
Management Process ◽  
Content Type ◽  
Security Culture ◽  
Current State ◽  
Enterprise Risk ◽  
Risk Management Process ◽  
Cyber Risk

PurposeThis article aims to gain insights on the current state of small- and medium-sized enterprises’ (SMEs’) cyber risk management process and to derive future research directions.Design/methodology/approachThis is done by collecting market insights from 37 recent industry surveys and structuring them based on the steps of the risk management process. From this analysis, major challenges are derived and future fields of research identified.FindingsThe results indicate that deficiencies in risk culture as well as the strained market for IT experts are the major obstacles with respect to the implementation of cyber risk management in SMEs, and that these challenges are similar across countries. The findings suggest that especially the relationship between cyber security culture and cyber risk management should be investigated further, and that a stronger link between the research streams on enterprise risk management and cyber risk management would be desirable.Originality/valueThis paper contributes to the literature by providing a systematic overview on the current state of SMEs' cyber risk management from a market perspective. The findings provide support for the existing academic literature by emphasizing the central role of cyber security culture (perception, knowledge, attitude) for a successful cyber risk management, which however should be addressed in more depth in future (empirical) research.

Enterprise risk management: history and a design science proposal

2018 ◽  
Vol 19 (2) ◽  
pp. 137-153 ◽  
Author(s):  
Michael McShane
Keyword(s):  
Risk Management ◽  
Management Practices ◽  
Design Science ◽  
Enterprise Risk Management ◽  
Content Type ◽  
Research And Practice ◽  
Enterprise Risk ◽  
Risk Management Process ◽  
Management Concepts ◽  
Science Approach

Purpose This paper aims to investigate the evolution of enterprise risk management (ERM) out of fragmented disciplinary perspectives to provide a foundation for promoting interdisciplinary research and proposes a design science approach for more effective ERM implementation in organizations. Design/methodology/approach This conceptual paper synthesizes ERM research and practice from multiple disciplines. Findings Corporate risk management concepts were born in academic finance and developed further in the finance subset known as risk management and insurance. With the advent of ERM, efforts must broaden beyond applying statistical models to quantifiable risks. Other disciplines have expanded ERM research by embracing techniques to investigate risk management practices to produce knowledge that integrates practice and theory. ERM is promoted as integrated risk management, yet silos still remain in both practice and research. Originality/value This study provides a foundation and a proposal for moving ERM past academic and organizational silos, which is necessary to achieve the ERM philosophy and increase organizational resilience. Understanding the evolution and fragmented nature of ERM research and practice provides a foundation for interdisciplinary cooperation necessary to achieve the holistic ERM philosophy. A next frontier is effective ERM implementation. This paper argues for an organizational design science approach for mitigating the resistance to change that confounds effective implementation of ERM in organizations facing an increasingly uncertain environment and outlines future research for applying the approach to implementing the ISO 31000 risk management process.

The Rational Choice of Not Applying Project Risk Management in Information Technology Projects

2009 ◽  
Vol 40 (3) ◽  
pp. 72-81 ◽  
Author(s):  
Elmar Kutsch ◽  
Mark Hall
Keyword(s):  
Information Technology ◽  
Risk Management ◽  
Project Management ◽  
Project Managers ◽  
Project Risk Management ◽  
Management Process ◽  
Information Technology Projects ◽  
Project Risk ◽  
Risk Management Process ◽  
Project Management Institute

The management of risk is considered a key discipline by the Project Management Institute and the Association for Project Management. However, knowledge of what needs to be done frequently fails to result in action consistent with that knowledge. The reasons for this seem to have received little attention. This study researched the degree of use of project risk management and barriers that prevent IT project managers from using risk management. Interviews and a survey were carried out. The results show that, in one-third of cases, because of the problem of cost justification, no formal project risk management process was applied.

Analysis and Visualization of Project Structure Using Linkography: Focussing Project Risk Management

2009 ◽  
Author(s):  
Kilian Gericke ◽  
Bjo¨rn Kleinod ◽  
Lucienne Blessing
Keyword(s):  
Risk Management ◽  
Original Method ◽  
Project Risk Management ◽  
Management Process ◽  
Cost Information ◽  
Project Risk ◽  
Real Time Scale ◽  
Risk Management Process ◽  
Management Method ◽  
Project Structure

Product development projects are difficult to plan due to complexity, dynamics, lack of transparency and polytely. Risk Management is often used to cope with this situation. Linkography (originally proposed by Goldschmidt) is adapted with the aim to ease the effort of the Risk Management process. The elements of the original method are transferred to the area of Project Risk Management, complemented by a real time scale, and cost information of elements. Linkography is used to focus all Risk Management activities on those work packages, which might affect the project the most in the case of failing the expected outcome. The number of links to other work packages, its duration and its costs defines the criticality of a work package. By applying Linkography as a Risk Management method, a prioritized list of work packages can be generated which pass consecutively through the usual Risk Management process. Unlike other methods, Linkography supports the user in a visual manner. Hence, Linkography can easily be used for communication with unskilled stakeholders.

Research on the Project Risk Management Process Based on the Process Method

2011 ◽  
Vol 187 ◽  
pp. 23-28 ◽  
Author(s):  
Xiao Qin Liang ◽  
Shi Cong Hong
Keyword(s):  
Risk Management ◽  
Project Management ◽  
Project Risk Management ◽  
Management Process ◽  
Project Development ◽  
Complex Environment ◽  
Project Risk ◽  
The Core ◽  
Risk Management Process ◽  
Process Method

The project carrying on in the complex environment was affected by many factors. Project risk management is to manage the uncertainty elements in the process of project development to realize the smoothly running of the project. This paper provided the process method carried on the control to each type of resources in risk management investment in the project risk management process, built up process method in controlling project risk to reduce the threat that risk brings to the project, and attained the lowest damage of the project. Consecutively, risk management can be made to become one of the core parts in project management by excavating the project potential opportunities.

scholarly journals THE USE OF PROJECT MANAGEMENT METHODOLOGIES AND PROJECT RISK MANAGEMENT IN THE LIGHT OF EMPIRICAL RESEARCH

2021 ◽  
pp. 13-21
Author(s):  
Maciej Brzozowski
Keyword(s):  
Risk Management ◽  
Project Management ◽  
Empirical Research ◽  
Project Risk Management ◽  
Management Process ◽  
Project Risk ◽  
Basic Assumptions ◽  
Risk Management Process

The main purpose of the paper is to examine, on the basis of empirical research, the perceived manner of project management in organizations, as well as to determine the frequency of application of selected project management methodologies, in addition to the assessment of their usefulness for project risk management. The first part of the paper presents - identified on the basis of literature studies - types and examples of project management methodologies along with basic assumptions of the project risk management process, and in the second part - the results of empirical research conducted by recourse to a questionnaire among the participants of projects implemented in various types of organizations. The study showed that in organizations employing respondents, the methodical manner of project management is most often used, while the most popular project management methodologies were PMBoK, Agile and PRINCE2, wherein respondents highly rated the usefulness of selected methodologies for effective project risk management.

scholarly journals The Project Risk Management Process, a Preliminary Study

2014 ◽  
Vol 16 ◽  
pp. 943-949 ◽  
Author(s):  
Luiz Henrique Rodrigues-da-Silva ◽  
José António Crispim
Keyword(s):  
Risk Management ◽  
Project Risk Management ◽  
Management Process ◽  
Project Risk ◽  
Risk Management Process ◽  
Preliminary Study
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