a) Explain the risk management procedure. Set out the risks associated with attending
the annual Engineering Institute of Zambia symposium in Livingstone. Draw a risk
register (log) and populate it with at least four perceived risks. Analyse these risks
and rank them.

b) You are planning the manufacture of modification to an existing product. Your
analysis has come up with the following information. What contingency reserve
would you use?

Project data


There is a 30 percent probability of a delay in the
receipt of parts, with a cost to the project of


There is a 20 percent probability that the parts will
cost ZMW 100,000 less than expected.


There is a 25 percent probability that two parts will
not fit together when installed, costing an extra


There is a 30 percent probability that the
manufacture may be simpler than expected, saving


There is a 5 percent probability of a design defect,
causing ZMW 50,000 of rework.


Total cost contingency


Public Answer

PEYI3G The First Answerer