Business Finance Homework Help

Risk is inherent to every project. Some risks are more likely to occur than others, and some will have a greater impact to the project if realized. Although you cannot account for every risk, a thorough risk analysis and assessment can help minimize the liabilities of the project and ensure that your projects are successful.

Refer to Case 7.1, 7.2, 7.3, and 7.4 of your text. Each of these cases presents you with a project scope statement for a fictional project. You are to pick 1 of these cases on which to perform a risk analysis. After picking a case of your choice, you should address the following:

• Summarize the project.
• Discuss how the risk management process will be applied.
• Identify potential risks associated with this project (you must come up with at least 5 different risks).
• Use a risk assessment form to analyze identified risks.
• Develop a risk response matrix to outline how you would deal with each of the risks.

Please use the following templates when writing your paper

• Risk Assessment Form
• Risk Response Matrix

In conducting the risk assessment and developing the risk response matrix, you can either develop the risk assessment form and the risk response matrix yourself, or you can use the templates provided in your text. Your submission should be 5 pages in length. Be sure to cite your sources using APA; include your references and in-text citations.

Use this template to complete this assignment.

Case 7.1

Alaska Fly-Fishing Expedition*

You are sitting around the fire at a lodge in Dillingham, Alaska, discussing a fishing expedition you are planning with your colleagues at Great Alaska Adventures (GAA). Earlier in the day you received a fax from the president of BlueNote, Inc. The president wants to reward her top management team by taking them on an all-expense-paid fly-fishing adventure in Alaska. She would like GAA to organize and lead the expedition.

You have just finished a preliminary scope statement for the project (which follows). You are now brainstorming potential risks associated with the project.

1.Brainstorm potential risks associated with this project. Try to come up with at least five different risks.

2.Use a risk assessment form similar to Figure 7.6 to analyze identified risks.

3.Develop a risk response matrix similar to Figure 7.8 to outline how you would deal with each of the risks.

PROJECT SCOPE STATEMENT

PROJECT OBJECTIVE

To organize and lead a five-day fly-fishing expedition down the Tikchik River system in Alaska from June 21 to 25 at a cost not to exceed $45,000.

DELIVERABLES

Provide air transportation from Dillingham, Alaska, to Base I and from Base II back to Dillingham.

Provide river transportation consisting of two eight-person drift boats with outboard motors.

Provide three meals a day for the five days spent on the river.

Provide four hours of fly-fishing instruction.

Provide overnight accommodations at the Dillingham lodge plus three four-person tents with cots, bedding, and lanterns.

Provide four experienced river guides who are also fly fishermen.

Provide fishing licenses for all guests.

MILESTONES

1.Contract signed January 22.

2.Guests arrive in Dillingham June 20.

3.Depart by plane to Base Camp I June 21.

4.Depart by plane from Base Camp II to Dillingham June 25.

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TECHNICAL REQUIREMENTS

1.Fly-in air transportation to and from base camps.

2.Boat transportation within the Tikchik River system.

3.Digital cellular communication devices.

4.Camps and fishing conforming to state of Alaska requirements.

LIMITS AND EXCLUSIONS

1.Guests are responsible for travel arrangements to and from Dillingham, Alaska.

2.Guests are responsible for their own fly-fishing equipment and clothing.

3.Local air transportation to and from base camps will be outsourced.

4.Tour guides are not responsible for the number of king salmon caught by guests.

ACCEPTANCE CRITERIA

The president of BlueNote, Inc. reviews.

*This case was prepared with the assistance of Stuart Morigeau.

Case 7.2

Silver Fiddle Construction

You are the president of Silver Fiddle Construction (SFC), which specializes in building high-quality, customized homes in the Grand Junction, Colorado, area. You have just been hired by the Czopeks to build their dream home. You operate as a general contractor and employ only a part-time bookkeeper. You subcontract work to local trade professionals. Housing construction in Grand Junction is booming. You are tentatively scheduled to complete 11 houses this year. You have promised the Czopeks that the final costs will range from $450,000 to $500,000 and that it will take five months to complete the house once groundbreaking has begun. The Czopeks are willing to have the project delayed in order to save costs.

You have just finished a preliminary scope statement for the project (which follows). You are now brainstorming potential risks associated with the project.

1.Identify potential risks associated with this project. Try to come up with at least five different risks.

2.Use a risk assessment form similar to Figure 7.6 to analyze identified risks.

3.Develop a risk response matrix similar to Figure 7.8 to outline how you would deal with each of the risks.

PROJECT SCOPE STATEMENT

PROJECT OBJECTIVE

To construct a high-quality, custom home within five months at a cost not to exceed $500,000.

DELIVERABLES

A 2,500-square-foot, 2½-bath, 3-bedroom, finished home.

A finished garage, insulated and sheetrocked.

page 243Kitchen appliances to include range, oven, microwave, and dishwasher.

A high-efficiency gas furnace with programmable thermostat.

MILESTONES

1.Permits approved July 5.

2.Foundation poured July 12.

3.“Dry in”—framing, sheathing, plumbing, electrical, and mechanical inspections—passed September 25.

4.Final inspection November 7.

TECHNICAL REQUIREMENTS

1.Home must meet local building codes.

2.All windows and doors must pass NFRC class 40 energy ratings.

3.Exterior wall insulation must meet an “R” factor of 21.

4.Ceiling insulation must meet an “R” factor of 38.

5.Floor insulation must meet an “R” factor of 25.

6.Garage will accommodate two cars and one 28-foot-long Winnebago.

7.Structure must pass seismic stability codes.

LIMITS AND EXCLUSIONS

1.Home will be built to the specifications and design of the original blueprints provided by the customer.

2.Owner is responsible for landscaping.

3.Refrigerator is not included among kitchen appliances.

4.Air conditioning is not included, but house is prewired for it.

5.SFC reserves the right to contract out services.

ACCEPTANCE CRITERIA

“Bolo” and Izabella Czopek reviews.

Case 7.3

Trans LAN Project

Trans Systems is a small information systems consulting firm located in Meridian, Louisiana. Trans has just been hired to design and install a local area network (LAN) for the city of Meridian’s social welfare agency. You are the manager for the project, which includes one Trans professional and two interns from a local university. You have just finished a preliminary scope statement for the project (which follows). You are now brainstorming potential risks associated with the project.

1.Identify potential risks associated with this project. Try to come up with at least five different risks.

2.Use a risk assessment form similar to Figure 7.6 to analyze identified risks.

3.Develop a risk response matrix similar to Figure 7.8 to outline how you would deal with each of the risks.

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PROJECT SCOPE STATEMENT

PROJECT OBJECTIVE

To design and install a new local area network (LAN) within one month with a budget not to exceed $125,000 for the Meridian Social Service Agency with minimum disruption to ongoing operations.

DELIVERABLES

Twenty workstations and 20 laptop computers.

Two servers with quad-core processors.

Print server with two color laser printers.

Barracuda Firewall.

Windows R2 server and workstation operating system (Windows 11).

Migration of existing databases and programs to new system.

Four hours of introduction training for client’s personnel.

Sixteen hours of training for client network administrator.

Fully operational LAN system.

MILESTONES

1.Hardware January 22.

2.Setting users’ priority and authorization January 26.

3.In-house whole network test completed February 1.

4.Client site test completed February 2.

5.Training completed February 16.

TECHNICAL REQUIREMENTS

1.Workstations with 17-inch flat panel monitors, dual-core processors, 8 GB RAM, 8X DVD+RW, wireless card, Ethernet card, 500 GB SSD.

2.Laptops with 12-inch display monitor, dual-core processors, 4 GB RAM, wireless card, Ethernet card, 500 GB SSD, and weight less than 4½ lbs.

3.Wireless network interface cards and Ethernet connections.

4.System must support Windows 11 platforms.

5.System must provide secure external access for field workers.

LIMITS AND EXCLUSIONS

1.On-site work to be done after 8:00 p.m. and before 7:00 a.m. Monday through Saturday.

2.System maintenance and repair only up to one month after final inspection.

3.Warranties transferred to client.

4.Only responsible for installing software designated by the client two weeks before the start of the project.

5.Client will be billed for additional training beyond that prescribed in the contract.

ACCEPTANCE CRITERIA

Director of the city of Meridian’s Social Service Agency reviews.

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Case 7.4

XSU Spring Concert

You are a member of the X State University (XSU) student body entertainment committee. Your committee has agreed to sponsor a spring concert. The motive behind this concert is to offer a safe alternative to Hasta Weekend. Hasta Weekend is a spring event in which students from XSU rent houseboats and engage in heavy partying. Traditionally this occurs during the last weekend in May. Unfortunately, the partying has a long history of getting out of hand, sometimes leading to fatal accidents. After one such tragedy last spring, your committee wants to offer an alternative experience for those who are eager to celebrate the change in weather and the pending end of the school year.

You have just finished a preliminary scope statement for the project (which follows). You are now brainstorming potential risks associated with the project.

1.Identify potential risks associated with this project. Try to come up with at least five different risks.

2.Use a risk assessment form similar to Figure 7.6 to analyze identified risks.

3.Develop a risk response matrix similar to Figure 7.8 to outline how you would deal with each of the risks.

PROJECT SCOPE STATEMENT

PROJECT OBJECTIVE

To organize and deliver an eight-hour concert at Wahoo Stadium at a cost not to exceed $50,000 on the last Saturday in May.

DELIVERABLES

Local advertising.

Concert security.

Separate beer garden.

Eight hours of music and entertainment.

Food venues.

Souvenir concert T-shirts.

Secure all licenses and approvals.

Secure sponsors.

MILESTONES

1.Secure all permissions and approvals by January 15.

2.Sign big-name artist by February 15.

3.Complete artist roster by April 1.

4.Secure vendor contracts by April 15.

5.Setup completed on May 27.

6.Concert on May 28.

7.Cleanup completed by May 31.

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TECHNICAL REQUIREMENTS

1.Professional sound stage and system.

2.At least one big-name artist.

3.At least seven performing acts.

4.Restroom facilities for 10,000 people.

5.Parking available for 1,000 cars.

6.Compliance with XSU and city requirements/ordinances.

LIMITS AND EXCLUSIONS

1.Performers are responsible for travel arrangements to and from XSU.

2.Vendors contribute a set percentage of sales.

3.Concert must be over by 11:30 p.m.

ACCEPTANCE CRITERIA

The president of XSU student body reviews.