All language subtitles for KU PMGT 823 Session 1(Part A)- Risk Management

Hello everyone and welcome to the first
session of project risk management.

In this session, we will build a broad
understanding of what risk means in

projects, why managing risk is
important, and we will take an initial

some of the tools and strategies we will
be using throughout this course.

In this part of session one, we will
focus on the basic concepts of risk

management. We'll explore what risk
really means, how it relates to

and why every project naturally involves
some level of risk.

This understanding will form the
foundation for everything we will cover

course.

And before we dive into today's content,
please take a moment to watch this

short video.

It is a fun and engaging way to
introduce some of the key concepts we

discussing today about the risk
management.

you can access this video by clicking on
the link provided on this slide or

simply go to the related page on canvas
and watch the video once you're done we

will move forward with exploring some of
the main ideas together now that you

watch the video it's time to talk a
little bit more about risk Risk is

officially defined as an uncertain event
or condition that, if it occurs, can

provide a negative or even positive
impact on one or more project

That's why every project inherently
involves risk, because outcomes are

fully predictable.

Uncertainty is simply the lack of
complete knowledge about issues, events,

paths, or solutions.

Have you ever wondered if the level of
risk increases as projects become more

modern and complex?

Well, modern projects usually face
higher levels of risk.

They tend to be more complex, subject to
more frequent change, and operate in

fast evolving environments.

On top of that, they often have to
perform with limited funding, staffing,

equipment, making risk management even
more critical.

As a project moves forward through its
lifecycle, the number of newly

risks decreases.

However, cost of addressing any risks
that do emerge becomes higher.

That's why identifying risks early in
the project is key to saving time,

and effort.

And now let's talk about risk and
information.

Risk and information are inversely
related.

At the start of a project, when we have
limited information, the risk is higher.

As we gather more data and understanding
over time, risks tend to decrease.

Risk management helps bridge that
initial information gap.

Now let's look at some of those real
-world examples and explore the risks

can threaten their objectives.

In a bridge construction project,
typical risks include delays in

permits, Bad weather disrupting
construction, increasing in material

safety hazards for workers, and design
changes that are usually requested by

client during the execution or even
after execution.

By contrast, in a mobile application
development project, risk could include

changing customer requirements,
unexpected technical problems,

team members being unfamiliar with new
technologies.

Delays in delivering prototypes and user
dissatisfaction with the final product.

So as you can see, the risk can be
different from one project to another

based on the scope and activities that
are in those projects.

And what about organizing an
international conference?

Do you think that there are risks
associated with those types of the

Well, of course, yes. The answer is
always yes.

These projects also have some problems
like key speaker cancellation at the

moment, visa or travel issues for
international participants, technical

like Internet outage, the outbreak of
diseases that could cancel the event.

What a low turnout of participants,
Bill. That one is the worst one,

And how about launching a new production

in a factory?

So risks here might include delays in
delivery of machinery, installation and

setup if used, the need of retained
staff to use new technology, unexpected

increase in operational costs, and
failure to meet the planned production

capacity.

Now that you have some general insights
about different projects and risks that

associate with each of them, let's think
about these questions together.

Do different projects or industries deal
with the same kind of the risks?

Obviously not.

Is it possible to completely prevent the
negative consequences of the risks?

And if not, what are strategies or
methods can be used in order to manage

effectively and mitigate the outcomes?

Well, that's why we need to increase our
knowledge about project risk

management.

When it comes to international projects,
the risks are even greater and more

complicated. This table highlights the
top risk factors that can impact

international projects. And as you can
see, those risks are categorized into

groups.

Resources, regulations,

crisis, insurance, science and health,
and digital.

Each category presents unique
challenges.

such as supply chain disruptions,
political transitions, financial crisis,

insurance market instability,

public health threats, and even
cybersecurity risks.

As a project manager, being aware of
these risks can help you better

challenges and prepare more effective
risk management strategies.

Additionally, different industries face
different types of risks.

For example, oil and gas, heavy
equipment manufacturing,

telecommunications, construction,
software, banking, and insurance, each

have their own unique challenges that
could be different from other

challenges.

Alright, now let's focus on the elements
of a risk.

Risk can be understood as a product of
two factors, the probability of an

That will occur and then the consequence
of it if it really happens.

Another way to look at it is a function
of hazards and safeguards. There are

hazards of source of potential harm and
safeguards are measures taken to prevent

or reduce the impact of those hazards.

Surprisingly, not all risks necessarily
lead to negative outcomes.

In some cases, risks, when managed well,
they can turn into opportunities that

can positively impact project
objectives.

For example, completing a construction
project ahead of schedule or using

innovative techniques to lower costs can
provide significant benefits.

In the bridge construction project,
opportunities might include finishing

construction earlier than planned,

And this allows for earlier traffic flow
and revenue generation.

Or using new construction techniques
could lower material and labor costs and

successfully completing the project
could boost the company's public

And all of these are definitely
opportunities.

Now, can you think of a few potential
opportunities for the other project

examples that we discussed earlier?

For instance, what opportunities might
arise during mobile application

development project or those for
international conference organization

There are generally three types of
opportunities in projects.

First, opportunities that are related to
deliverable choices.

like selecting better technology.

And these types of opportunities usually
happen due to our choices and decisions

in initiating phase.

Second, opportunities that emerge during
planning and execution phases, like

optimizing workflows to save time or
cost.

And then finally, the third one belongs
to opportunities that come from

uncertainties in project activities,
like completing tasks earlier than

expected.

Now let's focus on the risk management
in PMBOK 6th edition and 7th editions.

While the 6th edition focuses more on
defined processes, the 7th edition

border view of uncertainty and
performance in dynamic environment.

We will explore concepts from both
editions throughout the course wherever

necessary.

And the seventh edition of PMBOK
introduces a broader perspective,

that projects operate in uncertain,
complex, and rapidly changing

Managing uncertainty effectively is a
key component of modern project risk

management.

Okay, let's focus on project risk
management.

Project risk management involves a
series of processes.

planning risk management, identifying
risks, performing qualitative and

quantitative risk analysis, planning
risk responses, implementing those

responses, and monitoring risks
throughout the project.

Together, these steps help ensure risks
are managed proactively rather than

reactively.

Effective risk management brings many
benefits.

It helps lower overall project costs and
reduces chaos.

It improves the chance of meeting
project objectives, increases project

and management support.

It helps balance high -risk and low
-risk projects in an organization.

It strengthens communication within the
team and justifies the need for schedule

and budget reserves.

Risk management mainly focuses on
schedule and cost -based risks.

However, today's projects, specifically
those involving advanced technologies,

have shifted the focus toward technical
risks.

Questions like, can we design and build
this product?

Or will this technology become outdated
soon? Are among those most frequently

questions that usually asked by the
project manager.

Projective risk management is always
preferred over crisis management, but

are the differences between these two?

Waiting until a problem becomes a crisis
usually means using more resources,

taking longer to recover, and dealing
with greater disruption.

That's why early and continuous risk
management is so critical to project

success.

Now that we have got our brains warmed
up with risk and uncertainty, it is time

to flash back to the definition of
uncertainty that we discussed at the

beginning of today's lesson.

According to the PMBOK 7th edition,
uncertainty can be broken down into

different aspects.

Risk refers to uncertain events that
could impact the project, specifically

project outcomes.

Ambiguity is about unclear causes or
multiple possible outcomes.

Complexity arises from dynamic system
and human behavior.

And finally, volatility represents rapid
and unpredictable change.

Understanding the difference between
these aspects can help us manage

more effectively.

okay and i think that should be enough
for part a of today's session part b and

c are really easy not that much detail
but please make sure that you will take

some time to review the materials that
are listed for you here

here are your tasks and activities for
this session first make

sure to participate in discussion board
one by posting your response Then

complete quiz one, which covers the
syllabus content.

And finally, please watch case study
one, which focuses on the Panama Canal

project. These activities will help
reinforce the key concepts we've

today.

And this wraps up our first session's
overview of project risk management.

If you have any questions, thoughts, or
ideas you'd like to share about what

we've discussed today, feel free to
reach out.

thank you very much for watching this
video