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How to manage risk in Primavera P6 Professional

Jan 26

Written by:
26/01/2013 00:19  RssIcon

Risks are uncertain events/conditions that have the potential to negatively (or positively) impact project objectives. Primavera P6 Release 8.2 Professional includes an integrated Risk Management feature that enables you to identify, categorize and prioritize risks, assign a responsible person for managing the risk, assign risks to one or more activities that may be impacted by the risk, and conduct qualitative analysis on each risk. Additionally, you have the ability to record a risk response.

Primavera generates a "Risk Score" based on information that is entered for each risk. The "Risk Score" can then be used to help you evaluate the significance of the risk. Included in this post are the first two steps in the process of using the Risk Management functionality in P6 Release 8.2. For the full tutorial please visit our main blog located here: http://mssprojectsanalytics.com/blog/bid/260308/How-to-manage-risk-in-Primavera-P6-Professional

Step 1. We will document a possible risk to our project involving the Design and Engineering process. We want to document that if the customer changes the design of our Office Building Addition, the project may incur additional costs as well as schedule delays. The image below illustrates the Design and Engineering WBS element (work breakdown structure). As you can see below, this portion of the project is currently scheduled to start on Jan. 11 and finish on Feb. 9, and the total budgeted cost is $3120. We can also view the activities comprising this WBS element and their corresponding dates & budgeted cost. Please note that we have added the "Risks" tab in our Activity Details.

Primavera Risk Management

Step 2. Access the "Risks" icon on the directory bar and click the add icon on the Command Bar to begin the process of documenting the potential risk. The details pertaining to the risk are added using the detail tabs. The "General" tab is used to identify the risk category, risk type, owner or person responsible for resolving the risk, and status. The Exposure Start and Exposure Finish dates correspond to the start and finish of the activities in the Design and Engineering WBS. These dates represent the earliest and latest dates this risk may occur. The Pre-Response Exposure Cost represents the possible cost this risk may impose, and the Post-Response Exposure Cost is the cost the risk may impose based on your risk response. We will discuss the calculations behind these values shortly. Notice that you can also provide the date the risk was identified as well as the resource that identified the risk.

Primavera P6

 

To continue learning the process of using the Risk Management functionality in P6 Release 8.2 access the remaining five steps here: http://mssprojectsanalytics.com/blog/bid/260308/How-to-manage-risk-in-Primavera-P6-Professional

 

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