Understanding the relation between the Scope size and the associated Risks

In this podcast, Ricardo talks about the relationship between the risks and the project scope. Not just the clarity of the scope, but also its amplitude, contribute to the amount of risk that must be managed.

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Episode transcript

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Hello, everyone. Welcome to the five Minutes PM podcast today to discuss with you the relationship between Scope and risk. It's very important to understand this because many people think that risk is something that is not clear associated with this Scope. And I want just to make sure that you understand that you Scope is one of the key drivers of threats and risks in your project. And it's not only about having a detailed scope or a known detailed Scope because many people say, okay, or Scope leads to risk.

Okay? This is obvious, but also the size of the scope and the way that you would approach our project can generate or can reduce the level of treads you have. So let's take a quick example. Let's suppose you are building your own you house, and then you decide to include in the scope of your project, a pool, a swimming pool. So you need to understand that to get a, with the swimming pool comes a lot of benefits. Of course, it's a entertainment.

It's a enjoyment for you, for your family. It's an increase in the Valley of your property, but to get a with that comes a lot of Risks, right? Because you have Risks regarding all of the hydraulical system, because maybe your original project does not support the level of, of water that you need to, for example, to pump to the pool, or maybe the heating that if you want to hate it, its very, very important because many people they face when they are organizing their Scope.

They think that I just need to define a clear Scope. If I define a clear sense cope I'm mitigating, the risks does is partially correct. Of course it's much better than a known the fine at Scope. But if you transform the Scope a very well defined at Scope on their project. What an extremely complex involving new technology involved, a new law or knew kind of regulation, Oh, multicultural environments move the country environment.

You need to understand when you put this component inside your project, you are not alone increasing your risk and its very, very important that you read. Yeah. Elyse, this increase at the beginning of the planning of your project and not during the execution. Remember the concept of the sediment, a wet sediment, its very easy for you to shape, but when the sediment becomes dry, the way to reshape is through breaking it and to break, it means the destruction of Valley because probably you cannot do it again with the same sentiment.

It's a lot of energy because you need to take a hammer and the heat very heavily. So its a energy consuming task. So you need to understand that. So why I'm proposing to you first, when you were preparing and framing your Scope stipend, when you were framing your WBS, when you start crafting your project, every single or packaged every single component, you should at least informally to understand which kind of Risks I am bringing to the project by adding this new work package, this new component of the Scope.

I know that traditionally risk management and the risk register, all of the risk approach is usually done at the end of the planning in a more formal way, because of course you have more information, not only about the Scope, but because I'm talking here about this, Scope what else to you to do it? Every single item, you know, the ad as a component too, your product or your service that is aiming with the project that you would understand, which kind of Risks I'm bringing it, is it worth the, bring this risk in or is there any odder approach that I can flip or change that will bring much more value for me?

So this is the thought you need to have and you need to have this at the beginning of the planning and not at the end, because at the end, most of the time you are already starting some contracts. You are already starting some purchase process. You already are hiring people with, we have not done yet. So its a very important remember the concept of the seminar. So if its very well, its a great moment for you to understand each additional piece you're bringing into the Scope it's not only about defining or not defining at Scope, but also the amplitude the size of the scope of your project.

Many times when I have a very big project, I prefer to split into smaller projects and I do a programmatic approach and I do disease Zackly to confine to restrict the level of risks. Because if you are bringing a project with a high level of traits, you are risking increasing your risk very heavily off, not being successful in the deliver of your project. So I hope you understood the new, had this thought about the relationship between risk and Scope and see you next week with another five minutes BM bupkis.

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Understanding the relation between the Scope size and the associated Risks

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