Project Risk Management Guidelines : Managing Risk in Large Projects and Complex Procurements

by Dale F. Cooper (Broadleaf Capital International, Australia); Stephen Grey (Broadleaf Capital International, Australia); Geoffrey Raymond (Broadleaf Capital International, Australia); Phil Walker (Broadleaf Capital International, Australia)

• ISBN13: 9780470022818
• ISBN10: 0470022817
• Format: Hardcover
• Copyright: 2004-12-01
• Publisher: WILEY

Summary

This book describes philosophies, principles, practices and techniques for managing risk in projects and procurements, with a particular focus on complex or large-scale activities. The authors cover the basics of risk management in the context of project management, and outline a step-by-step approach. They then extend this approach into specialised areas of procurement (including tender evaluation, outsourcing and Public-Private Partnerships), introducing technical risk assessment tools and processes for environmental risk management. Finally they consider quantitative methods and the way they can be used in large projects. International case studies are included throughout.

Author Biography

<b>Dale Cooper</b> has over twenty-five years of international experience with risk management for large and complex projects. He is a Fellow of the Australian Institute of Company Directors, an Affiliate of the Securities Institute of Australia, a member of the Risk Engineering Society and the Society for Risk Analysis, and an accredited provider of risk management consulting services to government agencies in Australia and New Zealand. Since late 1991, Dale Cooper has run Broadleaf Capital International, a consulting company that specialises in high-level strategic, organisational and project risk analysis, for both public and private sector clients. His risk consulting activities have included assignments in North America, Europe, Australasia, Asia and the Middle East. He is a member of the Standards Australia Technical Committee that developed the risk management standard AS/NZS 4360 and associated handbooks. <p> <b>Stephen Grey</b> is an experienced risk management practitioner specialising in project, organisational and strategic risk applications. He has worked with many private and public sector organisations in the UK, Europe, Australia and New Zealand for over fifteen years. Stephen is actively involved in the development of risk management practices around the world. He is a member of the Risk Engineering Society within the Institution of Engineers (Australia), a member of the Special Interest Group on Project Risk Management of the UK Association for Project Management and Director of Region IV, Asia and Pacific, of the Risk Special Interest Group of the US based Project Management Institute. He is an Associate Director of Broadleaf Capital International. <p> <b>Geoff Raymond</b> is a highly experienced risk management consultant, facilitator and trainer. He has significant recent experience in the conduct of qualitative and quantitative risk assessments, hazard analyses and value management studies in a variety of contexts. Prior to joining Broadleaf Capital International as an Associate Director in 1996, he established the Risk Engineering Services business unit at BHP Engineering. His main activities are in strategic planning, corporate and project risk analysis and risk management training, for both public and private sector clients. <p> <b>Phil Walker</b> had a long career in the Australian Department of Defence, culminating in responsibility for very large defence projects, prior to joining Broadleaf as an Associate Director in 1999. While in Defence, Phil managed very large and complex projects with large multi-skilled teams scattered in many locations worldwide. His skills and expertise in projects centre on business, finance and contractual matters, although he has a strong technical knowledge. Phil has worked with the US Navy for three year in Philadelphia on a number of large scale maritime projects and initiatives. <p> &#160;

Table of Contents

Foreword	vii
Preface	ix
About the authors	xiii
Introduction to project risk management	1	(10)
Part I The basics of project risk management	11	(134)
The project risk management approach	13	(6)
Establish the context	19	(18)
Risk identification	37	(8)
Qualitative risk assessment	45	(14)
Semi-quantitative risk assessment	59	(14)
Risk treatment	73	(16)
Monitoring and review	89	(4)
Communication and reporting	93	(8)
Project processes and plans	101	(8)
Simplifying the process	109	(16)
Managing opportunities	125	(12)
Other approaches to project risk management	137	(8)
Part II Extending the basic process	145	(104)
Case study: tender evaluation	147	(14)
Contracts and risk allocation	161	(10)
Market testing and outsourcing	171	(12)
Public--private partnerships and private financing	183	(20)
Technical tools and techniques	203	(22)
Introduction to environmental risk management	225	(24)
Part III Quantification of project risks	249	(80)
Introduction to quantification for project risks	251	(12)
Cost-estimating case studies	263	(16)
Case study: planning a timber development	279	(16)
Capital evaluation for large resource projects	295	(16)
Risk analysis and economic appraisal	311	(10)
Conclusions	321	(8)
Part IV Additional information and supporting material	329	(42)
Risk management process checklist	331	(4)
Worksheets and evaluation tables	335	(22)
Examples of risks and treatments	357	(14)
Glossary	371	(4)
References	375	(4)
Index	379