10 Common Project Risks

It may come as a shock to some, but, with even the best of planning in any project, there are certain risks that are bound to threaten the success of the project. Knowledge of such risks and how to handle them is valuable information any project manager needs to learn at one point or another in his or her practice. Acquiring knowledge on the most frequent hazards in a project helps one avoid or minimize them and this is where Project Risk Management Training comes handy.

1. Scope Creep
   Whereas the scope is the size and range of a project, scope creep implies additional features to the project that have not been approved, for instance additional tasks. This can cause problems such as; going over budget, failing to meet deadlines, and hence causing the project to fail. The risk of project scope blow out can be managed through good communication and sound change control practices.
2. Budget Overruns
   Lack of proper cost control can cause cost overruns because many businesses do not spend an adequate amount of time estimating potential costs. Adequate cost estimation and carrying out periodic checks on project costs are some of the recommended techniques that participants learn in Project Risk Management Training in an endeavor to control this risk.
3. Resource Shortages
   Where there is a scarcity of the right human resource and or material, a project can easily be brought to a stand still. The main risk is that the project may take far longer to complete than originally estimated so this risk can be managed by planning resources in detail and having a contingency plan ready.
4. Missed Deadlines
   This means that whenever there are one or several tasks that take longer than expected, it will impact the rest of the work package’s timeline or the whole project timeline at large. This risk can be managed by one ensuring that they set achievable timelines and then ensure frequent check-ups are made on the same.
5. Stakeholder Conflicts
   This is because, through conflicts, major setbacks are likely to occur in a project, in cases where the conflicting stakeholders have had their influence incorporated in the project. One may add that in order to avoid conflicts, stakeholders should be engaged all the time and their expectations should be defined clearly.
6. Technical Challenges
   Hitches are bound to happen and this is more so when it involves complications of a technical nature than social ones. To minimize this risk, one has to do a good job in the research of the latest technical advancements and ensuring that the firm employs technical persons.
7. Poor Risk Management
   Surprisingly, inability to manage risks is one of the major risks out there. There is a range of standardized courses that can be attended in order to learn about systematic processes of identification, evaluation, and management of risks, one of which is the Project Risk Management Training course.
8. Regulatory Changes
   One area of risks comprises changes in legislation or regulations affecting the compliance with the project. This risk can be dealt with by ensuring that one stays abreast with the changing regulatory environments and by the inclusion of flexibility into the project plan.
9. Environmental Risks
   One component common to most project delivery systems is that they are affected through the occurrence of natural disasters or through other environmental factors. Even though these kinds of risks are unpredictable, minuted contingency plans will go a long way in minimizing their effects.
10. Market Changes
    Market-related factors like changes in the consumers’ tastes or a downtrend in the economy will influence the outcome of the project. One can manage this through constant market analysis, and being ready to shift tactics in the market.

These are among the everyday risks that must be anticipated in project management and so calling for an understanding of their proximal causes or solutions. When you attend a  Risk Management Course you will be able to master proper ways of identifying, evaluating, and managing project risk,so that your projects will be delivered on time, on a fixed budget, and according to stakeholder expectations.