Davis describes them as being “diametrically opposed to the other” (2005). The first problem, or risk, is the system not being developed in time. Hopkins & Associates could lose their covetous position in the competitive field of the oil and gas consulting industry. The second risk is bringing the PREsys software to market before it is ready, believing it to be perfect and only finding its flaws later “that lead to inaccurate reserves economics forecasts and, eventually, major law suits’ (Davis, 2005). Taking their industry into account, these risks are serious and could potentially ruin the company. If the software is brought to market before it is ready, then every day spent working on it is money lost. However, if the project is not hurried, another company may create software of a similar nature which would create another monetary loss for Hopkins & Associates. These risks are all encompassing and there is no real way to alleviate them except to take a chance that the project will succeed. Venturing into a project with so many unknowns brings about the potential of many risks. The company needs to consider and examine all risk assessments related to the project and understand the consequences should plans be derailed. Senior management was premature in
PROJECT ANALYSIS, SELECTION, AND CHARTER 6 their decision to approve the contract based solely on an idea. A well thought and laid out plan is necessary as is a timeline to keep the plan running smoothly. Before moving forward on this project, risk management needs to examine and assess every facet. These pieces of the project can help measure success.
PROJECT ANALYSIS, SELECTION, AND CHARTER 7 References Davis, C. K. (2005). An Experiential Case Study in IT Project Management Planning: The Petroleum Engineering Economics Evaluation Software Imperative. Journal of Cases on Information Technology, 7(1), 1–21.
You've reached the end of your free preview.
Want to read all 7 pages?