Project Risk and Procurement Management

Ibrahim Al-Zubaidi

One of the most important keys/factors that affect the project implementation and cause a loses and fail is (Risk Factor), hence, the project risk and procurement management is about how to plan, act, monitor and control the expected project risk. The nature of risk involves an element of uncertainty because of the need to consider hypothetical future events. The event may or may not happen, after the global financial crisis, and the unexpected factors that happened in that period, global organizations / companies started focusing on the risk management, so, it is important to any organization/company to set-up a strategy to manage the project risk and plan for risk responses; each risk probability and impact should be determined and measured first. There is a different level of risks; therefore, several ways to response are available; in other word; managing the risk is linked with the natural and degree of risk and the organization risk attitude. Planning in advance for project risk will assist the project manager to ensure the successful of project in term of time, cost, scope, quality and resources, etc. and this key will help the organizations in making Go or No Go decisions, the decision that will be taken based on advance plan will definitely release the pressure from the project team and improve the work performance; Finally, Global organizations, which include the teamwork or partners from different nationalities must have a clear context for risk communications, it is also necessary to define the roles and responsibilities by allocating risk owners, who know what to do if the threats become true.