is the strongest and newest software for project risk management. This software has a very user friendly environment and it’s easily possible for users to export their projects to other project management software pieces. This software is produced by Oracle Co. (www.oracle.com) and it’s a stand-alone solution. Different sorts of distribution functions enable users to model and simulate the project to reach the accurate results under risk conditions so the input data plays a vital role for final results. In this book the methods of entering the risks and analyzing them are clarified. In this book, the version of 8.7 is taught.
Using a proper method to manage projects has become one of the most important problems for project-oriented companies. A large number of companies have various projects and all of them need to be planned and controlled by project planning experts because they have different resources, deliveries, risks, issues, tasks, etc. So, they should manage all of them at the same time. Projects should be planned and controlled correctly by the experts of this field. Project management techniques and standards are the best tools to manage the projects. There is a lot of useful and applicable software pieces and project management standards for different levels of project management. Using a strong software is very important too for project owners and planners. At first, an accurate plan should be devised for projects. Then, the actual data should be defined and compared with the plans. This deviation is very important to manage costs and times of project and well-timed reports can reduce these deviations. The reports of the calculation these deviations are very important for project owners. These reports are about earned values, cash flow, work overview, cost overview, critical tasks, late tasks, milestone status, etc.
Besides the processes of planning and control, project managers should consider the risks of the projects. The risks of projects which is inevitable, may have positive and negative influence on the project and project planners should increase the positive effects and reduce the impacts of negative effects of risks. Thus, reacting to the risk is very important. This reaction is different and it depends on the project managers thinking but the proper reaction to each types of the risks should be done in order to enhance the project duration and reduce this cost. Risk management is one of the area of PMBOK in all editions.
Risk is the uncertainty of future outcome(s), it means that risk is something will be happened in the future but it’s not predictable. Risk analysis contains identifying, analyzing and proper reaction to risks. Risk planning, identifying, quantitative and qualitative analyzing, planning and controlling are the main stages of risk management. There are different methods to identify all of the risks in the project-oriented systems. SWOT analysis, expected value, dynamic programing, brainstorming, sensitivity analysis, simulation, decision tree, etc. are the useful methods for risk management. Probable is the measure that an event might be occurred in the future. When the number of variables is not controlled, decision making in uncertain conditions is useful. Primavera Risk Analysis is one of the useful software for risk management.
Primavera was launched in 1983 by Primavera System Inc. and it was acquired by Oracle Company in 2008. Primavera Risk Analysis is a strong software that can manage the projects easily. This software is programmed for risk analysis but its stand-alone software and it’s possible for users to export or import their files to P6 applicable for collaboration.
This book is useful for project managers, project owners, project planners, other members of projects, students, etc. This book contains seven main chapter plus one chapter that a project is illustrated completely in this part.
In the first chapter, the concepts of risk management and project management are clarified. Analyzing and managing the risk of project plus the useful tools and methods related to risk analysis are illustrated in this phase. Monte Carlo and PERT methods are the most prominent methods for risk management referred in this part. Different distribution functions for PERT method are explained in this part. The concepts of project management are very important too because all the formulas and calculation of project management are the main concepts of any project management software pieces. Some concepts such as Gantt view, Critical Path Method, floats of tasks, resources leveling and allocation, Network Diagram, etc. are other project management subjects illustrated in this chapter.
In the second chapter, project planning is explained and the risks of project for calendars, tasks or resources haven’t been entered yet. The concept of Gantt Chart, Network Diagram and Resource Graph are clarified. Creating a new project, view and resources, fields, lists, calendars, etc. is illustrated in this chapter. Besides of this, the method of creating the links between tasks is shown too.
In the third chapter, the structure and appearance setting of project are clarified. The view of Gantt View, resource view, columns, etc. are the main subjects explained in this part. Filtering and sorting the tasks and resources of project are shown in this chapter too.
In the fourth chapter, the risks of project for tasks, resources and calendars are illustrated to enter to the project for more analyzing that will be illustrated. The methods of entering the distribution functions of the risks in different levels of project are illustrated in this chapter. As in the first chapter different distribution functions are illustrated, in this part, the method of using them is clarified in order to define them for any tasks, resources and calendars. Besides, the concepts of correlation are explained too.
In the fifth chapter, other analysis for risk management is clarified. They’re organized by different models and useful charts for this. Risk criticality, Schedule sensitivity Index, Tornado, Distribution, Scatter and Cash Flow Graph are illustrated in this part too. The methods of editing these charts are another subjects illustrated in this part. Criticality path report, criticality distribution profile, comparing plans, transmitting data of risk, weather modeling are other concepts illustrated in this chapter.
In the sixth chapter, the method of entering the quantitative and qualitative risks are illustrated. Then, the risk scoring and risk matrix are shown based on the defined risks allocated to each tasks. Analyzing the risks and related reports are other subject of this chapter. Besides, editing the types of reports are explained.
In the seventh chapter, other abilities of this software related to the links of that to other project management software pieces such as P6 and MS Project are explained.
In the eighth chapter, a sample project is explained and risk of that is considered. Most of the illustrated concepts in the first six chapters are covered this project so the task, resources, calendars of that are determined and the risks of that project are defined. Then, the baseline of that project is prepared and deviation of project are shown.
The risk management that is considered in this software is based on the concept of PMBOK book. Risk management includes seven steps that will be illustrated in the first chapter. These steps are: planning risk management, identifying risks, performing qualitative risk analysis, performing quantitative risk analysis (if required), planning risk responses and controlling it. All of these steps are illustrated in different versions of PMBOK standard.
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