All projects have some degree of risk and are either a threat to a project or an
opportunity. Project risk management seeks to anticipate and address uncertainties that threaten
the goals and timetables of a project (Nasa, 2007, ¶ 1). In order for projects to be implemented
successfully, several items need addressed by the project manager. According to Gray and
Larson, 2006, “two strategies for mitigating risk are reducing the likelihood that the event will
occur and/or, reduce the impact that the adverse event would have on the project. (p. 215). When
implementing projects, risk needs avoided, transferred, shared, or retained. Sound decisions by
the project manager (PM) will enable a company to limit the risk of a project.
Risks come in various degrees. The degrees in which the risk can affect the nature of the
project are categorized as low, medium, or high. In order to limit risks the PM needs to have a
contingency plan in place. Gray and Larson state, “The contingency plan represents actions that
will reduce or mitigate the negative impact of the risk event” (p.218).
In the Harrison Keyes (H-K) scenario, several risk factors were present. This paper will
address several key processes from management responses to risk, weighing perceived risks,
identifying additional risks, measuring risk, and defining project closure necessary when
evaluating project risks.
“Every project manager understands risks are inherent in projects. No amount of planning
or the inability to control chance events,” (Gray & Larson, 2006, p. 1). H-K
faced a variety of risks associated with launching an e-publishing division. In dealing with the
implementation of the e-publishing division, H-K faced disorganization, lack of knowledge by
key employees, and an inability for one division to communicate effectively with a selected
outsourced vendor. Class discussions lead to several viable recommendations ranging from