Risk is quite interesting as we can look at any given situation on an array of continua and through a cross section of perspectives. Because of this, risk management can become complex, particularly when the same risk manifests in different guises that change with context or environment, then ignored.
My personal approach to risk taking changed my whole world view which over time evolved into a "Daoist" approach of "all opportunity comes with risk" so embrace it and roll with it. I have learned that this does not always sit well with folks as we do not always work from the same baseline of assumptions.
Additionally, in "closed culture" environments where mindsets are similar, we are not always willing to consider alternative views and variables.
So, I devised the game of hypotheticals, which I play regularly, and which allows us to exercise risk awareness and cognitive functioning without incurring major costs. We can also enjoy some self-discovery around when we should consider preventative measures.
The rules are simple. Define a situation, give it an impact rating then change the context and review the situation. You can be as extreme or as conservative as you like. To get value out of the challenge, try to think beyond your own experience and knowledge parameters.
Here's an easy work-a-day and personal example to illustrate my point.
Network failure: low frequency, low pain risk.
The assumption is that for all of us, the internet and electricity are available on tap, something we rarely think about, let alone consider a risk treatment. (Fun fact: Internet infrastructure mapping was illegal in the U.S., until recently, as it was deemed a security risk.)
- what if I said that you are moving from Colorado to California? (Add the frisson of being a remote worker.)
No action required, surely?
Reality bites: Within a few months and multiple network disruptions, of this move (I assume population density, ageing infrastructure and poorly managed upgrades are the cause of a poorer service), I now have a backup network on standby on a daily basis.
(Fun fact. California has a major energy crisis including payment deficits of more than $2 billion and major financial instability in the three main investor-owned utilities.)
- what if I said that you are moving from a tier 1 city in the U.S. or U.K. to a tier 2 city in China? (A rarer occurrence for many, you may have similar parallels.)
You might have zero context but if your company is moving you there to take over project management, it should be safe to assume they have done some due diligence and in a city of 5 - 6 million people there is sufficient supply. . . or perhaps not.
Reality bites: during this period of recent history, the surge in demand driven by international companies meant prioritized electricity distribution leading to regular brown outs and black outs. Grid infrastructure could not cope with western levels of demand and regular "energy sales" to Shanghai, a tier 1 city, meant that your business could shut down seasonally, for a few hours, multiple times a week. This was a big issue for project planning (and also for the textile, automotive and other businesses serving overseas markets), particularly when backup generators were not available.
(Fun fact: Sometimes lessons are not learned, and we perpetuate the problem which scales up nicely, as the business scales up, as illustrated in this recent article.)
I have played this game for years. It evolved from very real, and sometimes extremely painful, operational and project environments. I have used it as a method to engage with senior stakeholders and executive managers.
Remember that playing this game is a low-cost and can be a high value exercise.
Today, as a project manager, I often weave my own treatments into projects I engage with. The lessons learned were those that I believe(d) should be aware are not always experienced enough or even willing to understand impact.
Keeping a risk register and an archive lends itself to being an implicit preventative exercise and a useful tool for improved and sustainable performance.
Today, as an executive, I listen to the voice of the concerned, even when I feel that my experience has "got this covered." The lessons from my own experiences have shown me that when risks are left unattended, including the silliest sounding concerns, "reality bites".
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