Write 12 page essay on the topic What exactly is risk from the viewpoint of a project manager or business with responsibility for planning, organising and managing projects How can it be managed effec

Write 12 page essay on the topic What exactly is risk from the viewpoint of a project manager or business with responsibility for planning, organising and managing projects How can it be managed effectively and who should be responsible for this task You are required to critically an.

To be a competent risk manager, leaders must develop policies, procedures and best practices that can predict potential risk, measure its level of threat and effectively treat it (Haneef, et al. 2012).

This report determines what constitutes risk from the perspective of a project manager. Additionally, who should be responsible for risk management activities and how it can be successfully mitigated will be investigated. Furthermore, how to productively minimise risk will also be explored in this report by applying theoretical risk management activities to a hypothetical business project.

Effective risk management involves identifying potential threats and hazards to a project. To manage risk, project leadership must determine the probability of a negative occurrence and determine the potential consequences if an undesired scenario occurs (Di Serio, de Oliveira and Schuch 2011). Risk consists of many potential threats that can impact a business’ objectives, including macroeconomic factors, internal operational concerns, market uncertainties or even the organisation’s own internal processes (Di Serio, et al.). When considering a business’ procurement model, risk management involves being able to identify potential risk opportunities and constructing plans and strategies to avoid them or maintain the integrity of the supply chain holistically (Jutner 2003).

In a procurement risk management scenario, the responsibility for risk management cannot be placed on a single individual. In a large organisation, procurement models involve diverse organisational members, including the purchasing manager, sales managers, receiving department management, and inventory replenishment planning professionals (Davis 2013). Effective risk mitigation, in a procurement-related project, would involve determining how to build inventory