Question

In a short paragraph for each, explain why it is necessary to:

• conduct cost–benefit analyses
• conduct risk assessments
• develop contingency plans
• trial ideas and innovations
• celebrate success
• capture any learnings from improvement activities

Answer 1

1: Cost benefit analysis: This helps to bring insight about the investment and possible benefit out from it. Sometimes the investment will exceed the possible value of benefit and it will be a loss for the organisation. Thus it is wise to understand the possible cost involved , the effort involved and the benefit which can be drive out of it in order to reduce the possible risk.

2: Conduct risk assessment:- Risk assessment helps in mitigating the possible risk and also to avoid some risk which can be expected out of a process or project. This helps in taking preventive measurements and to equip with necessary arrangements like backup plans, exit plans to avoid the huge loss or negative impact. Risk assessment determines the frequency, severity  and impact of risk and classified them to different categories to plan accordingly,

3:- Develop contingency plans: This helps in meeting the uncertainity requirements and also provide business continuity plans. This reduced the negative impact of any loss due to accident, natural calamities and other unplanned situations. This prepared the resources and management to face the uncertainity time with more positive and synergy.

4" Celebrate success: This will motivate the entire team members who work for the success. This give confidence and more positive energy to boostup their morals and effort. This create a collaborative effort platform and work as a team and face more challenges to come over all the hurdles.

5:Capturing learning from improving activities provide guidance for the future projects and activities. We should take away positive aspects even from failures which helps to overcome various challenges. This provide learning curve and manage situations through the learning practices, experiences and the case studies.