Risk Management in PS

[federico_gregoret]

Hi everyone!

Does anyone know if the there's any functionality in SAP to handle Risk Management?

What the client needs to know is if SAP has any available tool to manage risks in project. When they are building up the solution for a client, they consider several risks that may arise. And during the execution of the project, they monitor those risks constantly. They can occurr or not, and sometimes other risks not detected can arise and have to be handled. Do you know if there's something in PS to address this?

Thanks in advance!

Regards,

Thalos.

[former_member230675 · Accepted solution]

Hi

Yes, it is possible to handle risk management in SAP PS.

Risk management need to consider the following:-

a) Event: What could happen?

b) Probability: How likely is it to happen?

c) Impact: How bad will it be if it happens?

d) Mitigation: How can you reduce the Probability (and by how much)?

e) Contingency: How can you reduce the Impact (and by how much)?

f) Reduction = Mitigation X Contingency

g) Exposure = Risk u2013 Reduction

Event you need to link with your network activities, means each activity you need to identify the risk involved.

Probability and Impact of the risk should be recorded on each activity which can be done through user fields.

For Mitigation and Contingency you can use DMS to maintain on each network activity.

If any Risk/ event occurred on an activity which you can identify through user status, and reporting can be done through notification.

If detailed mitigation plan need to be recorded you can record it through notification using class and charecteristics in order to record the values.

Create a Query / Z report to analyse the risk.

Tnx.

Abdul

[federico_gregoret · Accepted solution]

Hi Abdul!!

Thanks for your reply!! It's a great idea! And it's completely standard! We have to make some adjustements for our client, but it's great!

Just one more question! You mention "If any Risk/ event occurred on an activity which you can identify through user status, and reporting can be done through notification". How's that? The notification thing? Could you please give me some more detail?

Thanks again for your idea. I think it's really very useful!

Regards,

Thalos.

[former_member230675 · Accepted solution]

Hi,

You need to maintain user status profile in the network (may be without number) and you need to set the user status when a risk occured. Eg. RKID - Risk identified, RKRP - Risk Reported, RKSD- Risk solved something like that to identify and also to get the history as well as for analysis. Create a notification type (you can create one by copying claim notification) for Risk reporting and also recording the mitigation, so that you can use this notification as work flow for the partners involved like Project Engineer, Project Manager, Quality Manager, Finance Manager etc.

Hope it clears your doubt.

Tnx.

Abdul

[federico_gregoret · Accepted solution]

Thanks Abdul for your explanation!! Very clear!!

I will follow your model then!

Thanks again.

Regards,

Thalos.

[Former Member · Accepted solution]

@ Abdul

High quality response, nice to see such threads in forums. Keep the good work going.

[Former Member]

SAP cProjects also has a checklist item object that can be used for risk management. Some customisation is required to do it all, but the advantage is that you can run your risk register both at a project level as well as at a phase/task level.

More complex risk management such as integrated risk adjusted schedule or risk adjusted cost requires more complex and integrated functionality. Well known risk management software also includes Monte Carlo simulation techniques, which is outside the scope.

[Former Member]

Hi Thalos,

To my knowledge there is no such feature.

One workaround i can suggest is identify all risk & time lines that u want to monitor, then include those risk monitoring tasks as internal activities & schedule those as required so that you can confirm those activities on correct time lines.

If you need more details about these risk to be include on project, you can attached those documents to respective activities & keep note.

Hope this would help.

Regards,

SL