Project Management: Mastering Risk with the TARA Framework
TARA Framework can be applied as a method for managing risks throughout the lifecycle of a project. Just like in cybersecurity or enterprise risk management, TARA helps project managers prioritize and respond to risks based on their likelihood and potential impact. Here’s how the framework can be used in project management:
1. Tolerate (Accept the Risk)
For clients in sectors like real estate, infrastructure, or hospitality, Pan Global can assist in identifying risks that may have minimal impact on the project’s overall success. These risks might be accepted by the client if mitigating them would be costly or time-consuming.
Example: In a real estate project, small fluctuations in material costs may be tolerated if the impact on the project budget is minor. Pan Global can help the client weigh the cost-benefit of addressing these risks versus accepting them.
2. Avoid (Eliminate the Risk)
When Pan Global Consultancy identifies significant risks that can jeopardize a project’s timeline, cost, or quality, their team can help the client avoid these risks by adjusting plans, processes, or resources.
Example: If a construction project relies on a contractor with a poor financial track record, Pan Global can recommend engaging a more reliable contractor or ensuring that proper financial checks and balances are in place.
3. Reduce (Mitigate the Risk)
Pan Global specialises in offering operational and financial support, and this expertise can be applied to reduce the likelihood or impact of critical risks across industries, such as contracting, facility management, and healthcare.
Example: In a healthcare clinic project, Pan Global can help clients reduce the risk of financial mismanagement by implementing better internal control systems which they already provide for healthcare clients through accounts support. This proactive approach reduces financial risks that could otherwise escalate.
In construction or infrastructure projects, where cost overruns and delays are common, Pan Global can work on improving cash management and purchasing procedures to minimize these risks, thus ensuring smoother project execution.
4. Transfer (Shift the Risk)
For certain high-impact risks, Pan Global Consultancy can advise clients on ways to transfer these risks to other parties, such as through insurance or outsourcing critical project components.
Example: For hospitals and retail/wholesale projects, Pan Global might recommend that clients take out insurance policies to cover risks related to regulatory changes or unforeseen operational issues. Similarly, clients in manufacturing might outsource certain high-risk production elements to specialists, transferring the risk to external experts.
Conclusion:
How Pan Global Consultancy Integrates the TARA Framework in Project Management:
Risk Identification & Analysis: Pan Global can work with clients to assess risks at the start of every project, whether it’s in hospitality, healthcare, or infrastructure. By conducting internal control, Pan Global can identify financial, operational, and external risks that could affect project timelines and success.
Risk Prioritization & Response: Based on the TARA framework, Pan Global helps clients decide whether risks should be tolerated, avoided, reduced, or transferred, ensuring that risk management strategies are aligned with the client’s business objectives.
Ongoing Risk Monitoring: Throughout the lifecycle of a project, Pan Global can continually monitor risks, adjust strategies, and offer real-time solutions as conditions change.
