Example drmagedezzatgeorgy risk risk transfer the

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Unformatted text preview: w it is delivered (sometimes dramatically) so that the risk cannot occur. Example… Dr. Maged Ezzat Georgy Risk Risk Transfer The transfer strategy is to: “give responsibility for this risk to someone else (or give some other organization) inside or outside the project”. One form of risk transfer is: ◦ From an owner to a contractor, or ◦ From an owner/contractor to a vendor. Through a fixed price contract. Dr. Maged Ezzat Georgy Risk Transfer Beware, the contractor’s or vendor’s response to this risk transfer strategy could be: ◦ To increase his selling price. ◦ This way, you might end up paying for the impact of Thi the risk (or a large part of it) whether it happens or not. Dr. Maged Ezzat Georgy Risk Risk Transfer: Insurance Probably the most common method of transfer is to buy “insurance”. With insurance you give a relatively small amount of money, called a premium, to an insurance company, called to who becomes responsible for the risk. How can you tell if a premium is small enough to buy an insurance policy ??? Dr. Maged...
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This document was uploaded on 01/22/2014.

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