The paper 'Project Risk Management' is a great example of a Management Assignment. This project is designed and strategized to build several rental houses within Perth City, Australia. The main objective of the project is to find an amicable solution to the increasing population in the city. The project is scheduled to be completed in three years and the company in charge is Real Estate Organization Australia. I am working as the assistant manager foreseeing the successful completion of the project. The main features of the project include: The project must be completed within the scheduled period. High-quality outcomes and deliverables are expected. A lot of funds have been allocated to this project as compared to other real estate projects in the region. This is a milestone project for my company and successful completion will enhance the company’ s reputation. The risks affecting the project substantially impact the cost leading to changes in the project budget.
The legal authorities in charge of Real estate projects have stipulated various policies that are aimed at ensuring that these projects are completed in a legally acceptable manner. The penalty that is indicated in that Real Estate project pays a penalty of not more than $150, 000.
However, negotiating for these legal terms before the commencement of the project is vital. The other challenge that is expected in terms of finances is when the project is not completed within the stipulated time. a 30-day delay in the real estate project is expected to course up to $75, 000 Australian dollars’ deficit in the budget. 20 to 30 days’ delay is expected to cause an increase of up to a maximum of $20,000 which is considered as a minor consequence.
The moderate consequence is expected if the project delays in about 30 to 40 days. If the project delays in more than 1.5hrs the situation are considered as major and will lead to a charge of $50, 000 in the budgeted cost. On the other hand, if the project delays in less than 10 days then the consequence is regarded as negligible and will have an insignificant impact on the project cost.
Teaching Notes (2016). Topic 2: Project Risk Management: Risks Components and Classification. Curtin.
Teaching Notes (2016). Topic 3: Project Risk Management Paper 3: Project Risk Management Introduction, Context, Identification.
Teaching Notes (2016). Topic 4: Project Risk Management Paper 4: Qualitative Risk Analysis.
Teaching Notes (2016). Topic 5: Project Risk Management Paper 5: Risk Treatment.