#24 – WHEN 8 WEEKS ISN’T REALLY 8 WEEKS – MARK MOORE

Mark MooreIt’s a tale as old as project management itself.  Somebody works up a very detailed project schedule and even assigns specific resources to tasks.  They even manage to do some basic allocation so Jake from Engineering isn’t working 120 hour weeks for the next five years. 

But in their diligence and detail, they overlook a couple of things.  They forget that everybody on the project has “a day job” they still have to get done and that recurring events like annual quality reviews or year ends or whatever still happen.  In missing them, they put the project at risk of an overly optimistic timeline with unrealistic true allocation. Continue reading

#23 – RISK IN THE INSURANCE INDUSTRY – FRANK PHILLIPS

Having worked in the insurance industry for many years and many major carriers as an underwriter  – I have heard the word risk about as many times as one can imagine.  But no matter what the coverage in the property and casualty world there is a common risk evaluation process that can be applied. This process can certainly be incorporated into more broad enterprise risk management functions in corporations. In taking the Chartered Property and Casualty Underwriter (CPCU designation) tests there was invariably a question related to implementing the risk evaluation process. Continue reading

#23 – MAGIC WORDS AND ENCHANTED BEANS – MARK MOORE

Mark MooreSeveral discussions on LinkedIn recently have prompted me to think once again about how we place our projects and organizations at risk – sometimes severe risk – by relying on what amounts to “magic words and enchanted beans”.  And by that, I mean the tendency to either talk about buzzword tactics or strategies or throw tools at problems and believe we have actually implemented them.  Not only does this ignore the hard work of applying something we’ve never done before, it ends up as a fool’s errand and could cost us dearly in the end.  Give you some examples you say?  Certainly!  I’m glad you asked … Continue reading

#23 – CAN PROJECTS INCORPORATE TOO LITTLE RISK PART II – HOWARD WIENER

Howard Wiener PixIn the previous post, I discussed an approach to valuing projects using Discounted Cash Flow (DCF) analysis.  In this post, I will use the DCF technique combined with a fixed scenario to demonstrate a difference in Net Present Value (NPV) resulting from implementing a series of projects on an existing platform vs. replacing the aging platform and fulfilling the same requirements with up-to-date tools.  The horizon of the analysis is 20 years.

But first, read our last article on incorporating too little risk. Continue reading