Primavera Risk Analysis 8.6 Overview

Wed 3 Mar 2010 posted by Project Partners
Categories: Oracle Primavera

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By Tamim Kulaly, PMP

The first important question is, “why do projects fail?” There could be several reasons:

  • A project overrun –  The project takes longer than planned
  • Cost overrun – Executing the project cost more than budgeted
  • Underperformance  – The project team did not deliver the goals of the project
  • Plan too optimistic – Evidencing a lack of understanding of the true scope of the project
  • Scope creep – The scope of the project increased, but plans and budgets were not revised accordingly
  • Other – Sometimes things go wrong due to a lack of appropriate resources, equipment failure, bad weather, or other unpleasant surprises.

To avoid the downfalls of project failures, project-centric organizations should look into Risk Analysis products to minimize project risks. Oracle’s Primavera Risk Analysis is a complete lifecycle risk analytics solution integrating cost and schedule risk management. Users will have an objective view of the required contingency to account for cost and schedule uncertainty and analyze the cost-effectiveness of risk response plans.

Why Primavera Risk Analysis?

  • Increase confidence in bids & project selection
  • Help create a more realistic schedule and identify schedule assumptions
  • Identify common scheduling pitfalls that may result in misleading schedule or risk analysis results
  • Improve awareness of project risk and uncertainty
  • Integrate pre-developed risk registers and define new risk registers
  • Address complete lifecycle risk management through advanced Monte Carlo-based cost and schedule analytics
  • Report confidence levels about finish dates, charges, float, internal rate of return, and net present value
  • Increased project success by enabling better project management
  • Methodology-based risk analysis as identified in the PMBOK; Risk Planning, Risk Identification, Risk Assessment, Risk Response, and Risk Reporting.

Integrate Schedule and Cost Risk Analysis with the following products

  • Integration with Primavera 5x, 6x, Contractor, P3, and Suretrak.
  • Integration with Microsoft Project Server 2003 or Desktop. Primavera Risk Analysis is not compatible with MSP Server 2007, but MSP 2007 files can still be imported using the File…Microsoft Project…Open Project option
  • Integration with Deltek
  • UN/CEFACT – United Nations Centre for Trade Facilitation and Electronic Business.

Users can build a Risk Register – Qualitative & Quantitative Assessment

Users can build both Qualitative and Quantitative risk assessments based on this data; different scenarios can be created.

Primavera Risk Analysis Risk Register

Primavera Risk Analysis Risk Register

Users can build unlimited Risk Scenarios.

  • Project Schedule and Cost in planning/cost systems are just one scenario and usually not the most realistic. However, users can include risks in the scenario, providing a practical assessment for project delivery.
  • Users can compare different response strategies to determine the best ROI
Primavera Risk Analysis Risk Assessment

Primavera Risk Analysis Risk Assessment

In conclusion, executives, program managers, and project managers should use Risk Management tools to minimize project risk and maximize opportunities.