Risks, Benchmarks, and Innovations

121717-Risks, BMs, and Innovations

I can almost imagine risk as a hollow trapezoidal solid floating in space while hundreds in attendance (with varying coordinates in space) observe and try to describe it. Each spectator has a different perspective right from the get-go. Unless each one manages to see the other person’s perspective somehow, an agreement becomes impossible.

For risk-based management to work properly in an organization, management has to be willing to listen. Messengers who bring unwanted but factual news must be appreciated, not placed on a chopping block.

The question often thrown on the table is to whom should management listen? How can management be sure they are getting the right information? There is no certain answer to this, but a discerning manager can listen to everyone on duty and identify the real substance. When everyone sings in chorus and one does not, it does not mean he is wrong.

What do you think should be the approach of an open-minded management? Should we be worried that a management receptive to new and different ideas or opinions will prevent a risk framework from being effective? We always hear about streamlining a management process as we begin a new project because we all want to increase efficiency and productivity.

Streamlining and standardizing processes are there to reduce many of the problematic risks that plagued management years ago. They bring repeatability, uniformity, and good quality to the table. However, when one well-meaning risk manager gives some serious thought to it, he might see innovation and creativity as inapplicable to such a system.

Innovative ideas are initiatives that tend to run contrary to streamlining and standardizing approaches, processes, and methodologies. Innovation and creativity promote change. Streamlining and standardization underline fixed benchmarks. Each one can undermine the other if the proponents are not careful. The two objectives run in opposite directions.

It is a good reminder to all of us that management does not always have a sharp dividing line between stages and processes, despite a given structure and an implementation framework.

What we see many times are blurred boundaries that can easily become grey areas.

Take as an example the blurring of boundaries between public service and private interest in the health profession (Hudson, 2012), between sectors in a national context (LSE/NCVO/ESRC, 2009), in professional identities (Whitchurch, 2009), and in organizational hierarchies (Marchington, M. et al, 2006).

Blurred boundaries should be one of the most summoned risk-based considerations during the assessment process. Blurred boundaries are risk and contentious spots. It is a region where even an intelligent person falls prey to subjective perception. It is where we tend to make assumptions.

Source:

Frago, R. (2015).Risk-based Management in the World of Threats and Opportunities: A Project Controls Perspective.Section 2.5.ISBN 978-0-9947608-0-7.Canada

Rufran C. Frago-Author

Related sites:

  1. Your World, Our Risk Universe: WordPress
  2. LinkedIn Professional Website

Other books authored by Rufran Frago

  1. Plan to Schedule, Schedule to Plan.ISBN 978-0-9947608-2-1.Canada
  2. How to Create a Good Quality P50 Risk-based Baseline Schedule.ISBN 978-0-9947608-1-4.Canada

P50 and Plan to Schedule

About rcfrago

Rufran C. Frago, P. Eng., PMP, CCP, PMI-RMP, is the Founder/CEO of PM solution Pro, a tradename/trademark of Risk-based Management and Services Inc., a Canadian company focusing on project/business risk-based management consulting, business development, creative products, and training services. Senior project consultant, planner, scheduler, engineer, business developer, published author, with deep, diversified experience in management and controls. Hands-on work experience in engineering, maintenance, reliability program, operation, EH&S, training, and administration. Recognized subject matter expert by peers in project and Turn-around maintenance planning and scheduling, schedule quality assessment, and risk analysis. Proficient in project management framework, processes, tools, systems, and applications. Risk-based practitioner who value safety, integrity, ethics, and professionalism. Mr. Frago's personal work philosophy: "My client's success is also my own!" He has many years of international industry-related work ‎experience in Oil & Gas, Petrochemicals, Oleo-chemicals, Sugar Refining, Power/Utilities/Nuclear, Manufacturing, Consulting, and Education. He has worked in various parts of the world (Location: Asia, Middle East, Canada, and North Africa). Rufran has worked with Caltex, Uniman, Unichem (now Cocochem), ARAMCO-KSA, Central Azucarera de Tarlac, Arabian Gulf Oil Company-Libya, Batangas State University, Saint Bridget's College, JG Summit Petrochemicals, Halliburton-Kellogg, Brown and Root, OPTI Canada, and Suncor Energy Inc. His expertise includes risk-based project management, risk analysis, planning & scheduling, cost management, auditing, maintenance, operation, EH&S and reliability engineering. He is interested in providing solutions and innovations to all clients and stakeholders. Mr. Frago is a risk management professional. He studied at BSU graduating with a Diploma in Petroleum Refinery Maintenance Technician, and BS Mechanical Engineering. He also has a Bachelors degree in Management Engineering from UB. He took up MBA courses under UP-PBMIT Consortium. Rufran completed Computer Technician Program at ICS-Pennsylvania, USA, APM Certificate program at SAIT-Calgary, and PM Certificate program-Construction Management. He is presently taking up PM Certificate program-Risk Management at University of Calgary. He was a recipient of the Gerry Roxas Leadership Award, the American Field Service (AFS) Scholarship grant, and the CALTEX scholarship grant where he specialized in Petroleum Refinery Maintenance. The author wants to share his knowledge and leave behind some legacy to all readers, most especially to his wife, children and lovely grandchildren, Eva and Mia.
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