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Project.Risk.Management.Guidelines 401 pages
Managing Risk in Large Projects and Complex Procurements
Project risk management has come a long way since the 1980s, when Dale Cooper
and I worked together on a range of risk management consultancy projects in the UK,
Canada and the USA, published together, and became friends as well as colleagues. In
particular, the leading edge has moved from bespoke methods and models developed
for particular organizations and situations towards generic processes. It has also come
a long way since the mid-1990s, when Stephen Grey and I worked together on the
Association for Project Management PRAM (Project Risk Analysis and Management)
Guide. In particular, the debate about what shape generic processes should take has
clarified a number of issues, without leading to a consensus. Project risk management
continues to evolve in interesting and useful ways, with no end to this development
in sight.
One of the key current dilemmas is the gap between common practice and best practice.
Central to this is a widespread failure to understand the relationship between simple
approaches that work well in appropriate circumstances, and more complex approaches that
pay big dividends when the aspects they focus on deserve attention. Opinions are divided
on the scale and nature of this dilemma, and I have some views on how best to approach it
which differ from those put forward in this book. However, I think this book is very useful
reading for both experts and novices. It addresses the need for simplicity without being
simplistic in a direct manner. It has lots of useful practical advice for getting started and
dealing with simple situations. It also addresses some of the areas where more sophisticated
approaches are well worthwhile, and some of the relevant concepts and tools. In addition, it
packages the whole in a structure that works well.
A key feature of this book is the way it postpones addressing quantitative analysis and
associated process iterations (multiple pass looping) until after the basic process has been
described. Initially I found this a source of concern. However, this book is unusually clear
about the limitations of semi-quantitative approaches, the consequence rating tables
(Tables 4.3 and 4.4) make this approach unusually rich in insight, and the attractions of
the starting position adopted include a close proximity to common practice. There are
many routes to best practice, and both the best routes and the nature of the destination are
debatable. This book provides a particularly simple basic process as a starting position
without overlooking the drawbacks, and it addresses many of the implications of more
sophisticated processes later.
Another key feature of this book is the notion that best practice risk management is
shaped to particular contexts for efficiency, but the principles are universal and transportable.
The chapters on environmental issues and outsourcing, for example, address very different
contexts, but they share some basic perspectives.
This is a pragmatic and directly useful book for project risk management novices.
is also a stimulating and challenging book for those with considerable experience of
the field.
Chris Chapman
Professor of Management Science
University of Southampton, UK
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