Practical Management Science
6th Edition
ISBN: 9781337406659
Author: WINSTON, Wayne L.
Publisher: Cengage,
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Project Direct costs are the costs related with utility expenses in the project.
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- Risk management involves identification, assessment, control, and response to project risks to minimize the likelihood of occurrence and/or potential impact of adverse events on the accomplishment of the project objective. Risk identification includes determining which risks may adversely affect the project objective and estimating what the potential impacts of each risk might be if they occur. Describe the steps involved to manage risk on a project. How can a risk assessment matrix help in this process? What risks for a project have the highest priority? Does the priority for a risk change as the project progress?arrow_forwardTalk about your thoughts around the dangers of assuming during the business definition phase. What might need to take place to avoid high risk misconceptions about project scope and purposearrow_forwardIn what ways can underestimation or overestimation of costs impact a software project's success?arrow_forward
- Does a risk management project require a PM? Why or why not?arrow_forwardCreate a risk register for a project that you are familiar with. Capture at least ten (10) identified project risks. Demonstrate your understanding of the contents of the risk register.arrow_forwardGive an explanation of how earned value management (EVM) may be used to keep expenses under control and monitor the overall effectiveness of a project, and then hypothesise as to why it is not utilised more often. How can one determine if the data for cost variation, schedule variance, cost performance index, and schedule performance index are healthy or unhealthy? What are some basic rules of thumb?arrow_forward
- The chart below shows the initial investment and expected yearly payback for Project A and Project B Project A Project B Initial Investment $ 300,000 $ 450,000 Expected Yearly PayBack $ 45,000 $ 90,000 For Project A, There has been a change in the expected yearly payback. Years 1 and 2 – you are expecting $45,000 each year. For the next three years, you are expecting $70,000 each year. What would be the average ROI for this alternative?arrow_forwardList at least four items you think are appropriate for inclusion in a portfolio. Why should you include these itemsarrow_forwardDescribe the difference between organizational risk and project risk. Give an example of each.arrow_forward
- Additional Information: If TWW proceeds with the project as originally planned, there is a 40% chance that controversy about the financial "gratuity" will damage its reputation and lose $500 million in future business opportunities. If TWW spends $100 million to contract with an outside bank to oversee cash payments, the probability of this continuing controversy will decline to 20%. Choice b: Proceed with the project and contract with an outside bank. Use the following questions to explain your decision - Answer the question as the Government Representative, Mayor's Office 1. How may the supply and demand of local real estate be impacted by these decisions? 2. How may the market price of local real estate be impacted by these decisions? Question Instructions: Answer each question based on the decisions your group made. Address each question from a different perspective (from part 3) and explain the rationale behind your decisions for each question. Each…arrow_forwardMost projects will employ bottom-up estimating at some point to serve as a basis for estimating cash flow needs and for controlling the project. true or false?arrow_forwardone of your projects team members is highly regarded for her skills in the company. she is assigned to multiple projects at the same time and the projects compete for her time.she has a track record of successfully delivering all the projects and has never failed in any of her endeavors so far. She is also assigned to your project which is not a high-visibility project. She may not be able to spend much time on your project. Do you think this risk should be added to your projects risk register or database? a. maybeb. noc. yesd. can't sayarrow_forward
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