http://13.50.150.85/index.php?action=history&feed=atom&title=The_Role_of_Due_Diligence_in_Project_Management 2026-07-16T19:37:31Z Revision history for this page on the wiki MediaWiki 1.43.3 http://13.50.150.85/index.php?title=The_Role_of_Due_Diligence_in_Project_Management&diff=145721&oldid=prev 2023-05-09T16:07:26Z

<p></p> <table style="background-color: #fff; color: #202122;" data-mw="interface"> <col class="diff-marker" /> <col class="diff-content" /> <col class="diff-marker" /> <col class="diff-content" /> <tr class="diff-title" lang="en-GB"> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">← Older revision</td> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">Revision as of 16:07, 9 May 2023</td> </tr><tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l18">Line 18:</td> <td colspan="2" class="diff-lineno">Line 18:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Project due diligence is a responsible business conduct that involves thoroughly assessing the feasibility of a given project. It is an important process for risk identification, which is an action to prevent or mitigate risks. Furthermore, it promotes accountability and assists project managers in making informed decisions. &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt; Conducting a comprehensive project due diligence may return value to investors and minimize negative impacts to people and the environment &lt;ref name=DD&gt; e3 Plus (2003), E3 Plus: A Framework for Responsible Exploration, Retrieved April 20 from https://www.pdac.ca/docs/default-source/priorities/responsible-exploration/e3-plus---common/e3-plus---toolkits---social-responsibility/due-diligence.pdf?sfvrsn=67c734e2_4 &lt;/ref&gt;. Traditional due diligence and project due diligence share common similarities, however, due diligence is generally conducted to identify financial and legal risks when acquiring a business, rather than assessing the feasibility of a single project &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.  </div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Project due diligence is a responsible business conduct that involves thoroughly assessing the feasibility of a given project. It is an important process for risk identification, which is an action to prevent or mitigate risks. Furthermore, it promotes accountability and assists project managers in making informed decisions. &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt; Conducting a comprehensive project due diligence may return value to investors and minimize negative impacts to people and the environment &lt;ref name=DD&gt; e3 Plus (2003), E3 Plus: A Framework for Responsible Exploration, Retrieved April 20 from https://www.pdac.ca/docs/default-source/priorities/responsible-exploration/e3-plus---common/e3-plus---toolkits---social-responsibility/due-diligence.pdf?sfvrsn=67c734e2_4 &lt;/ref&gt;. Traditional due diligence and project due diligence share common similarities, however, due diligence is generally conducted to identify financial and legal risks when acquiring a business, rather than assessing the feasibility of a single project &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.  </div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>Project due diligence is a risk management process that often helps the project manager determine just how reliable, or unreliable, the project is and decide if the project should be pursued or not. By conducting an effective project due diligence can help to effectively manage risks associated with the project and avoid potential problems. It can potentially save the project itself &lt;ref name=DD&gt; e3 Plus (2003), E3 Plus: A Framework for Responsible Exploration, Retrieved April 20 from https://www.pdac.ca/docs/default-source/priorities/responsible-exploration/e3-plus---common/e3-plus---toolkits---social-responsibility/due-diligence.pdf?sfvrsn=67c734e2_4 &lt;/ref&gt;. In order to integrate “risk thinking” into project management, four risk-informed principles have been identified. The first principle is to create transparency regarding project risks. There are always some types of risks associated in a project and the first principle sets out to explore and identify knowable uncertainties and quantify resulting risks. Once the main risks have been identified, the second principle helps the project manager in making risk-informed decisions. The probability and impact of each inherent risk is identified, and the second principle sets out to decide what actions to take to manage the risks more effectively, usually by dealing with the biggest risks first. The third principle is to minimize uncertainty in projects by reducing both internal and external uncertainty. The risks may vary depending on the project, but project managers must identify the forces of uncertainty and where the uncertainty is coming from. Furthermore, they must identify the categories the risk may impact and have a plan of action ready for if things go wrong. The fourth and last principle deals with creating resilience in the project system &lt;ref name=DA&gt; Thuesen, Christian, Oehmen, Josef. Uncertainty slides – Jan 2023, 24. April 2023. &lt;/ref&gt;. When dealing with uncertainty, organizations try to respond to risks with a proactive risk management process, but it is impossible to prepare for every emergent risk. Two strategies have been identified to deal with any unforeseen risks occurring; have a flexible system in order to be being able to adapt easily and increase the project system’s resilience to ensure core tasks can continue despite major impacts of unexpected risks &lt;ref name=DE&gt; Wanner, Roland (2020), What Does Resilience Have to Do With Risk Management in Projects?, Retrieved April 26 from https://rolandwanner.com/resilience-in-project-risk-management/ &lt;/ref&gt;.  </div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>Project due diligence is a risk management process that often helps the project manager determine just how reliable, or unreliable, the project is and decide if the project should be pursued or not. By conducting an effective project due diligence can help to effectively manage risks associated with the project and avoid potential problems. It can potentially save the project itself &lt;ref name=DD&gt; e3 Plus (2003), E3 Plus: A Framework for Responsible Exploration, Retrieved April 20 from https://www.pdac.ca/docs/default-source/priorities/responsible-exploration/e3-plus---common/e3-plus---toolkits---social-responsibility/due-diligence.pdf?sfvrsn=67c734e2_4 &lt;/ref&gt;. In order to integrate “risk thinking” into project management, four risk-informed principles have been identified. The first principle is to create transparency regarding project risks. There are always some types of risks associated in a project and the first principle sets out to explore and identify knowable uncertainties and quantify resulting risks. Once the main risks have been identified, the second principle helps the project manager in making risk-informed decisions. The probability and impact of each inherent risk is identified, and the second principle sets out to decide what actions to take to manage the risks more effectively, usually by dealing with the biggest risks first. The third principle is to minimize uncertainty in projects by reducing both internal and external uncertainty. The risks may vary depending on the project, but project managers must identify the forces of uncertainty and where the uncertainty is coming from. Furthermore, they must identify the categories the risk may impact and have a plan of action ready for if things go wrong. The fourth and last principle deals with creating resilience in the project system &lt;ref name=DA&gt; Thuesen, Christian, Oehmen, Josef. Uncertainty slides – Jan 2023, 24. April 2023. &lt;/ref&gt;. When dealing with uncertainty, organizations try to respond to risks with a proactive risk management process, but it is impossible to prepare for every emergent risk. Two strategies have been identified to deal with any unforeseen risks occurring; have a <ins style="font-weight: bold; text-decoration: none;">''</ins>flexible<ins style="font-weight: bold; text-decoration: none;">'' </ins>system in order to be being able to adapt easily and increase the project system’s <ins style="font-weight: bold; text-decoration: none;">''</ins>resilience<ins style="font-weight: bold; text-decoration: none;">'' </ins>to ensure core tasks can continue despite major impacts of unexpected risks &lt;ref name=DE&gt; Wanner, Roland (2020), What Does Resilience Have to Do With Risk Management in Projects?, Retrieved April 26 from https://rolandwanner.com/resilience-in-project-risk-management/ &lt;/ref&gt;.  </div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>By conducting a comprehensive project due diligence, using the four risk-informed principles as a guide, can help project managers to better deal with the associated risks and provide them with a more realistic timeframe for project activities and processes. Project due diligence should be conducted properly, where it is not merely an item for the project manager to cross off their list. Even though the main purpose of due diligence is to identify project-related risks, it shouldn’t be seen as a tool to obstruct opportunities. Instead, if used effectively, it can help project managers in pursuing opportunities with greater confidence because there is a better understanding of the project’s risks &lt;ref name=DD&gt; e3 Plus (2003), E3 Plus: A Framework for Responsible Exploration, Retrieved April 20 from https://www.pdac.ca/docs/default-source/priorities/responsible-exploration/e3-plus---common/e3-plus---toolkits---social-responsibility/due-diligence.pdf?sfvrsn=67c734e2_4 &lt;/ref&gt;. Instituting due diligence can be beneficial for a variety of reasons. It can help identify potential operational and project-related risks, reduce cost, provide a better understanding of the project, and significantly reduce the probability of default &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>By conducting a comprehensive project due diligence, using the four risk-informed principles as a guide, can help project managers to better deal with the associated risks and provide them with a more realistic timeframe for project activities and processes. Project due diligence should be conducted properly, where it is not merely an item for the project manager to cross off their list. Even though the main purpose of due diligence is to identify project-related risks, it shouldn’t be seen as a tool to obstruct opportunities. Instead, if used effectively, it can help project managers in pursuing opportunities with greater confidence because there is a better understanding of the project’s risks &lt;ref name=DD&gt; e3 Plus (2003), E3 Plus: A Framework for Responsible Exploration, Retrieved April 20 from https://www.pdac.ca/docs/default-source/priorities/responsible-exploration/e3-plus---common/e3-plus---toolkits---social-responsibility/due-diligence.pdf?sfvrsn=67c734e2_4 &lt;/ref&gt;. Instituting due diligence can be beneficial for a variety of reasons. It can help identify potential operational and project-related risks, reduce cost, provide a better understanding of the project, and significantly reduce the probability of default &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td></tr> </table>

Unnaroli http://13.50.150.85/index.php?title=The_Role_of_Due_Diligence_in_Project_Management&diff=145675&oldid=prev 2023-05-09T16:00:18Z

<p></p> <table style="background-color: #fff; color: #202122;" data-mw="interface"> <col class="diff-marker" /> <col class="diff-content" /> <col class="diff-marker" /> <col class="diff-content" /> <tr class="diff-title" lang="en-GB"> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">← Older revision</td> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">Revision as of 16:00, 9 May 2023</td> </tr><tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l67">Line 67:</td> <td colspan="2" class="diff-lineno">Line 67:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>The list presented above is in no way exhaustive. It is an open-ended checklist that is designed to provide a general list of areas that should be considered and used as a guidance when conducting the project due diligence. Additionally, organizations may choose to create their own risk catalogue, which would be more suited to their industry.  </div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>The list presented above is in no way exhaustive. It is an open-ended checklist that is designed to provide a general list of areas that should be considered and used as a guidance when conducting the project due diligence. Additionally, organizations may choose to create their own risk catalogue, which would be more suited to their industry.  </div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>== Benefits of project due diligence ==</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div><ins style="font-weight: bold; text-decoration: none;">== Discussion ==</ins></div></td></tr> <tr><td colspan="2" class="diff-side-deleted"></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div> </div></td></tr> <tr><td colspan="2" class="diff-side-deleted"></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div><ins style="font-weight: bold; text-decoration: none;">=</ins>== Benefits of project due diligence <ins style="font-weight: bold; text-decoration: none;">=</ins>==</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>There are multiple benefits associated with properly conducting a comprehensive project due diligence. Effective project due diligence will enable project managers to identify, mitigate, and control risks in order to prevent harm to the project. Furthermore, project managers can reduce uncertainty and increase transparency for all parties involved. The risks associated with the project, program or portfolio are clearly defined and communicated to the stakeholders well in advance of the project’s start. In that way, project managers can take risk-informed decisions with greater confidence as the decision will be based on data and not on assumptions. The project will be closely monitored and evaluated throughout its entire life cycle, ensuring the project stays on schedule and achieves its objectives.  </div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>There are multiple benefits associated with properly conducting a comprehensive project due diligence. Effective project due diligence will enable project managers to identify, mitigate, and control risks in order to prevent harm to the project. Furthermore, project managers can reduce uncertainty and increase transparency for all parties involved. The risks associated with the project, program or portfolio are clearly defined and communicated to the stakeholders well in advance of the project’s start. In that way, project managers can take risk-informed decisions with greater confidence as the decision will be based on data and not on assumptions. The project will be closely monitored and evaluated throughout its entire life cycle, ensuring the project stays on schedule and achieves its objectives.  </div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>By taking a proactive approach and not a reactive approach the main benefits are that there is an increased understanding of the project, which will provide an impartial view of the project risks. Furthermore, that will enable better decision-making and more efficient management of risks for project managers &lt;ref name=DG&gt; Smith, Nigel J., Merna, Tony, Jobling, Paul. (2006). Managing Risk in Construction Projects (2nd ed. 2006 ed.). Blackwell. &lt;/ref&gt;.</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>By taking a proactive approach and not a reactive approach the main benefits are that there is an increased understanding of the project, which will provide an impartial view of the project risks. Furthermore, that will enable better decision-making and more efficient management of risks for project managers &lt;ref name=DG&gt; Smith, Nigel J., Merna, Tony, Jobling, Paul. (2006). Managing Risk in Construction Projects (2nd ed. 2006 ed.). Blackwell. &lt;/ref&gt;.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>== Limitations and challenges of project due diligence ==</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div><ins style="font-weight: bold; text-decoration: none;">=</ins>== Limitations and challenges of project due diligence <ins style="font-weight: bold; text-decoration: none;">=</ins>==</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Every procedure has a certain degree of limitations and challenges. That applies to project due diligence as well. Due to the organization’s lack of experience working on a certain type of project, project managers may find it challenging in identifying the associated risks as they are working in uncharted territory. Conducting project due diligence requires sufficient level of data in order to identify the risks associated with a project. If the data quality turns out to be insufficient, it requires project managers to make assumptions rather than confidently making risk-informed decisions based on the data. Furthermore, due diligence is often conducted by specialist or experts in their field, making it costly for the organization. Organizations may decide to cut corners when it comes to conducting due diligence in order to save on costs, especially if it&#039;s a small project.</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Every procedure has a certain degree of limitations and challenges. That applies to project due diligence as well. Due to the organization’s lack of experience working on a certain type of project, project managers may find it challenging in identifying the associated risks as they are working in uncharted territory. Conducting project due diligence requires sufficient level of data in order to identify the risks associated with a project. If the data quality turns out to be insufficient, it requires project managers to make assumptions rather than confidently making risk-informed decisions based on the data. Furthermore, due diligence is often conducted by specialist or experts in their field, making it costly for the organization. Organizations may decide to cut corners when it comes to conducting due diligence in order to save on costs, especially if it&#039;s a small project.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> </table>

Unnaroli http://13.50.150.85/index.php?title=The_Role_of_Due_Diligence_in_Project_Management&diff=145665&oldid=prev 2023-05-09T15:57:44Z

<p></p> <table style="background-color: #fff; color: #202122;" data-mw="interface"> <col class="diff-marker" /> <col class="diff-content" /> <col class="diff-marker" /> <col class="diff-content" /> <tr class="diff-title" lang="en-GB"> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">← Older revision</td> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">Revision as of 15:57, 9 May 2023</td> </tr><tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l32">Line 32:</td> <td colspan="2" class="diff-lineno">Line 32:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Due diligence can involve &#039;&#039;prioritization&#039;&#039; of risks. The project manager should prioritize the risks according to the probability of the individual risk occurring and the impact it may have on the project. It is not feasible to deal with every risk at once, so the risk with the most negative impact is dealt with first. When the risks resulting in the most negative impacts have been dealt with, the less significant risks will then be addressed &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Due diligence can involve &#039;&#039;prioritization&#039;&#039; of risks. The project manager should prioritize the risks according to the probability of the individual risk occurring and the impact it may have on the project. It is not feasible to deal with every risk at once, so the risk with the most negative impact is dealt with first. When the risks resulting in the most negative impacts have been dealt with, the less significant risks will then be addressed &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>Due diligence is ''dynamic'' and not static. <del style="font-weight: bold; text-decoration: none;">The </del>due diligence process is ongoing, responsive, and changing. If new risks, with higher probability of negative impacts are identified later in the process, they are immediately moved higher on the list of risks waiting to be dealt with accordingly. It is important that the project manager takes the dynamic approach, where he regularly reviews the prioritization of risks and updates the list when new risks are identified &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>Due diligence is ''dynamic'' and not static. <ins style="font-weight: bold; text-decoration: none;">As can be seen in figure 1, the </ins>due diligence process is ongoing, responsive, and changing. If new risks, with higher probability of negative impacts are identified later in the process, they are immediately moved higher on the list of risks waiting to be dealt with accordingly. It is important that the project manager takes the dynamic approach, where he regularly reviews the prioritization of risks and updates the list when new risks are identified &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>When conducting project due diligence, it is important to keep in mind the aforementioned characteristics in order to maintain the risk profile. Project managers need to keep an updated list of all identified risks within the project to ensure that decisions are made with the latest available information. Additionally, the project’s scope and objectives should frequently be reviewed, in order to make sure they are still aligned with the company’s goals &lt;ref name=DG&gt; Smith, Nigel J., Merna, Tony, Jobling, Paul. (2006). Managing Risk in Construction Projects (2nd ed. 2006 ed.). Blackwell. &lt;/ref&gt;.</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>When conducting project due diligence, it is important to keep in mind the aforementioned characteristics in order to maintain the risk profile. Project managers need to keep an updated list of all identified risks within the project to ensure that decisions are made with the latest available information. Additionally, the project’s scope and objectives should frequently be reviewed, in order to make sure they are still aligned with the company’s goals &lt;ref name=DG&gt; Smith, Nigel J., Merna, Tony, Jobling, Paul. (2006). Managing Risk in Construction Projects (2nd ed. 2006 ed.). Blackwell. &lt;/ref&gt;.</div></td></tr> </table>

Unnaroli http://13.50.150.85/index.php?title=The_Role_of_Due_Diligence_in_Project_Management&diff=142123&oldid=prev 2023-05-08T19:13:38Z

<p></p> <table style="background-color: #fff; color: #202122;" data-mw="interface"> <col class="diff-marker" /> <col class="diff-content" /> <col class="diff-marker" /> <col class="diff-content" /> <tr class="diff-title" lang="en-GB"> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">← Older revision</td> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">Revision as of 19:13, 8 May 2023</td> </tr><tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l40">Line 40:</td> <td colspan="2" class="diff-lineno">Line 40:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Project due diligence can be conducted in project, program, and portfolio management to identify and mitigate potential risks in order to make risk-informed decisions about a given project. Thus, it can be favorably used by the project manager to support their decisions. Project due diligence is the process of evaluating the risks associated with a project throughout its entire life cycle &lt;ref name=DH&gt; r2a: Due diligence engineers (2012), Project Due Diligence vs Project Management, Retrieved April 28 from https://r2a.com.au/risk-management-framework-project-due-diligence/&lt;/ref&gt;. In fact, many large-scale projects are not put through a thorough review process, resulting in excessive costs and delays. Large projects often have common similarities, going over budget, take longer than expected, and deliver less value than predicted. The primary reason of it happening is often a lack of upfront due diligence. Enforcing upfront accountability on project managers may lead to a more thorough and comprehensive due diligence. Project managers often take a reactive approach, where they spend a considerable amount of time analyzing why tasks fell behind and money was overspent. However, if the proactive approach was taken more often, resulting in the investment in upfront due diligence, projects would be better planned and executed &lt;ref name=DF&gt; Jahagirdar, Ketan (2019), Mitigate Project Risk With Upfront Due Diligence And Accountability, Retrieved April 26 from https://www.forbes.com/sites/forbesbusinesscouncil/2019/11/25/mitigate-project-risk-with-upfront-due-diligence-and-accountability/?sh=401c2e303ebc &lt;/ref&gt;.</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Project due diligence can be conducted in project, program, and portfolio management to identify and mitigate potential risks in order to make risk-informed decisions about a given project. Thus, it can be favorably used by the project manager to support their decisions. Project due diligence is the process of evaluating the risks associated with a project throughout its entire life cycle &lt;ref name=DH&gt; r2a: Due diligence engineers (2012), Project Due Diligence vs Project Management, Retrieved April 28 from https://r2a.com.au/risk-management-framework-project-due-diligence/&lt;/ref&gt;. In fact, many large-scale projects are not put through a thorough review process, resulting in excessive costs and delays. Large projects often have common similarities, going over budget, take longer than expected, and deliver less value than predicted. The primary reason of it happening is often a lack of upfront due diligence. Enforcing upfront accountability on project managers may lead to a more thorough and comprehensive due diligence. Project managers often take a reactive approach, where they spend a considerable amount of time analyzing why tasks fell behind and money was overspent. However, if the proactive approach was taken more often, resulting in the investment in upfront due diligence, projects would be better planned and executed &lt;ref name=DF&gt; Jahagirdar, Ketan (2019), Mitigate Project Risk With Upfront Due Diligence And Accountability, Retrieved April 26 from https://www.forbes.com/sites/forbesbusinesscouncil/2019/11/25/mitigate-project-risk-with-upfront-due-diligence-and-accountability/?sh=401c2e303ebc &lt;/ref&gt;.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>[[File:process.png|thumb|right|upright=1.5|Figure 1: Project Due Diligence Process <del style="font-weight: bold; text-decoration: none;">&lt;ref name=UOA/&gt;''</del>.]]</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>[[File:process.png|thumb|right|upright=1.5|Figure 1: Project Due Diligence Process <ins style="font-weight: bold; text-decoration: none;">(source: own figure)</ins>.]]</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Identifying the risk controls is only the first step. To aid this process, project managers may use a risk catalogue, which is a structured compilation of potential project risk events. The risk catalogue provides a list of known areas of uncertainty, however, the list is open-ended, meaning that they may need to look beyond the list in order to identify unusual but critical risks. The risk catalogue can also be used to enter preventative or reactive measures for risk avoidance &lt;ref name=DJ&gt; Thuesen, Christian, Oehmen, Josef. Week 10 – Risk, Uncertainty, Ignorance, 25. April 2023. &lt;/ref&gt;. A risk catalogue of the most common risks that can occur within a project or program, used as a guidance and practical resource for project risk assessment usually consist of these seven categories &lt;ref name=DK&gt; Simplilearn (2023), 13 Common Project Risks and How to Tackle Them, Retrieved April 15 from https://www.simplilearn.com/common-project-risks-article &lt;/ref&gt;:</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Identifying the risk controls is only the first step. To aid this process, project managers may use a risk catalogue, which is a structured compilation of potential project risk events. The risk catalogue provides a list of known areas of uncertainty, however, the list is open-ended, meaning that they may need to look beyond the list in order to identify unusual but critical risks. The risk catalogue can also be used to enter preventative or reactive measures for risk avoidance &lt;ref name=DJ&gt; Thuesen, Christian, Oehmen, Josef. Week 10 – Risk, Uncertainty, Ignorance, 25. April 2023. &lt;/ref&gt;. A risk catalogue of the most common risks that can occur within a project or program, used as a guidance and practical resource for project risk assessment usually consist of these seven categories &lt;ref name=DK&gt; Simplilearn (2023), 13 Common Project Risks and How to Tackle Them, Retrieved April 15 from https://www.simplilearn.com/common-project-risks-article &lt;/ref&gt;:</div></td></tr> </table>

Unnaroli http://13.50.150.85/index.php?title=The_Role_of_Due_Diligence_in_Project_Management&diff=142088&oldid=prev 2023-05-08T19:06:04Z

<p></p> <table style="background-color: #fff; color: #202122;" data-mw="interface"> <col class="diff-marker" /> <col class="diff-content" /> <col class="diff-marker" /> <col class="diff-content" /> <tr class="diff-title" lang="en-GB"> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">← Older revision</td> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">Revision as of 19:06, 8 May 2023</td> </tr><tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l40">Line 40:</td> <td colspan="2" class="diff-lineno">Line 40:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Project due diligence can be conducted in project, program, and portfolio management to identify and mitigate potential risks in order to make risk-informed decisions about a given project. Thus, it can be favorably used by the project manager to support their decisions. Project due diligence is the process of evaluating the risks associated with a project throughout its entire life cycle &lt;ref name=DH&gt; r2a: Due diligence engineers (2012), Project Due Diligence vs Project Management, Retrieved April 28 from https://r2a.com.au/risk-management-framework-project-due-diligence/&lt;/ref&gt;. In fact, many large-scale projects are not put through a thorough review process, resulting in excessive costs and delays. Large projects often have common similarities, going over budget, take longer than expected, and deliver less value than predicted. The primary reason of it happening is often a lack of upfront due diligence. Enforcing upfront accountability on project managers may lead to a more thorough and comprehensive due diligence. Project managers often take a reactive approach, where they spend a considerable amount of time analyzing why tasks fell behind and money was overspent. However, if the proactive approach was taken more often, resulting in the investment in upfront due diligence, projects would be better planned and executed &lt;ref name=DF&gt; Jahagirdar, Ketan (2019), Mitigate Project Risk With Upfront Due Diligence And Accountability, Retrieved April 26 from https://www.forbes.com/sites/forbesbusinesscouncil/2019/11/25/mitigate-project-risk-with-upfront-due-diligence-and-accountability/?sh=401c2e303ebc &lt;/ref&gt;.</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Project due diligence can be conducted in project, program, and portfolio management to identify and mitigate potential risks in order to make risk-informed decisions about a given project. Thus, it can be favorably used by the project manager to support their decisions. Project due diligence is the process of evaluating the risks associated with a project throughout its entire life cycle &lt;ref name=DH&gt; r2a: Due diligence engineers (2012), Project Due Diligence vs Project Management, Retrieved April 28 from https://r2a.com.au/risk-management-framework-project-due-diligence/&lt;/ref&gt;. In fact, many large-scale projects are not put through a thorough review process, resulting in excessive costs and delays. Large projects often have common similarities, going over budget, take longer than expected, and deliver less value than predicted. The primary reason of it happening is often a lack of upfront due diligence. Enforcing upfront accountability on project managers may lead to a more thorough and comprehensive due diligence. Project managers often take a reactive approach, where they spend a considerable amount of time analyzing why tasks fell behind and money was overspent. However, if the proactive approach was taken more often, resulting in the investment in upfront due diligence, projects would be better planned and executed &lt;ref name=DF&gt; Jahagirdar, Ketan (2019), Mitigate Project Risk With Upfront Due Diligence And Accountability, Retrieved April 26 from https://www.forbes.com/sites/forbesbusinesscouncil/2019/11/25/mitigate-project-risk-with-upfront-due-diligence-and-accountability/?sh=401c2e303ebc &lt;/ref&gt;.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>[[File:process.png|thumb|right|upright=<del style="font-weight: bold; text-decoration: none;">2</del>.<del style="font-weight: bold; text-decoration: none;">0</del>|<del style="font-weight: bold; text-decoration: none;">Figure1</del>: Project Due Diligence Process &lt;ref name=UOA/&gt;''.]]</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>[[File:process.png|thumb|right|upright=<ins style="font-weight: bold; text-decoration: none;">1</ins>.<ins style="font-weight: bold; text-decoration: none;">5</ins>|<ins style="font-weight: bold; text-decoration: none;">Figure 1</ins>: Project Due Diligence Process &lt;ref name=UOA/&gt;''.]]</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Identifying the risk controls is only the first step. To aid this process, project managers may use a risk catalogue, which is a structured compilation of potential project risk events. The risk catalogue provides a list of known areas of uncertainty, however, the list is open-ended, meaning that they may need to look beyond the list in order to identify unusual but critical risks. The risk catalogue can also be used to enter preventative or reactive measures for risk avoidance &lt;ref name=DJ&gt; Thuesen, Christian, Oehmen, Josef. Week 10 – Risk, Uncertainty, Ignorance, 25. April 2023. &lt;/ref&gt;. A risk catalogue of the most common risks that can occur within a project or program, used as a guidance and practical resource for project risk assessment usually consist of these seven categories &lt;ref name=DK&gt; Simplilearn (2023), 13 Common Project Risks and How to Tackle Them, Retrieved April 15 from https://www.simplilearn.com/common-project-risks-article &lt;/ref&gt;:</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Identifying the risk controls is only the first step. To aid this process, project managers may use a risk catalogue, which is a structured compilation of potential project risk events. The risk catalogue provides a list of known areas of uncertainty, however, the list is open-ended, meaning that they may need to look beyond the list in order to identify unusual but critical risks. The risk catalogue can also be used to enter preventative or reactive measures for risk avoidance &lt;ref name=DJ&gt; Thuesen, Christian, Oehmen, Josef. Week 10 – Risk, Uncertainty, Ignorance, 25. April 2023. &lt;/ref&gt;. A risk catalogue of the most common risks that can occur within a project or program, used as a guidance and practical resource for project risk assessment usually consist of these seven categories &lt;ref name=DK&gt; Simplilearn (2023), 13 Common Project Risks and How to Tackle Them, Retrieved April 15 from https://www.simplilearn.com/common-project-risks-article &lt;/ref&gt;:</div></td></tr> </table>

Unnaroli http://13.50.150.85/index.php?title=The_Role_of_Due_Diligence_in_Project_Management&diff=142083&oldid=prev 2023-05-08T19:05:20Z

<p></p> <table style="background-color: #fff; color: #202122;" data-mw="interface"> <col class="diff-marker" /> <col class="diff-content" /> <col class="diff-marker" /> <col class="diff-content" /> <tr class="diff-title" lang="en-GB"> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">← Older revision</td> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">Revision as of 19:05, 8 May 2023</td> </tr><tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l39">Line 39:</td> <td colspan="2" class="diff-lineno">Line 39:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>== The application of project due diligence: Common techniques used ==</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>== The application of project due diligence: Common techniques used ==</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Project due diligence can be conducted in project, program, and portfolio management to identify and mitigate potential risks in order to make risk-informed decisions about a given project. Thus, it can be favorably used by the project manager to support their decisions. Project due diligence is the process of evaluating the risks associated with a project throughout its entire life cycle &lt;ref name=DH&gt; r2a: Due diligence engineers (2012), Project Due Diligence vs Project Management, Retrieved April 28 from https://r2a.com.au/risk-management-framework-project-due-diligence/&lt;/ref&gt;. In fact, many large-scale projects are not put through a thorough review process, resulting in excessive costs and delays. Large projects often have common similarities, going over budget, take longer than expected, and deliver less value than predicted. The primary reason of it happening is often a lack of upfront due diligence. Enforcing upfront accountability on project managers may lead to a more thorough and comprehensive due diligence. Project managers often take a reactive approach, where they spend a considerable amount of time analyzing why tasks fell behind and money was overspent. However, if the proactive approach was taken more often, resulting in the investment in upfront due diligence, projects would be better planned and executed &lt;ref name=DF&gt; Jahagirdar, Ketan (2019), Mitigate Project Risk With Upfront Due Diligence And Accountability, Retrieved April 26 from https://www.forbes.com/sites/forbesbusinesscouncil/2019/11/25/mitigate-project-risk-with-upfront-due-diligence-and-accountability/?sh=401c2e303ebc &lt;/ref&gt;.</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Project due diligence can be conducted in project, program, and portfolio management to identify and mitigate potential risks in order to make risk-informed decisions about a given project. Thus, it can be favorably used by the project manager to support their decisions. Project due diligence is the process of evaluating the risks associated with a project throughout its entire life cycle &lt;ref name=DH&gt; r2a: Due diligence engineers (2012), Project Due Diligence vs Project Management, Retrieved April 28 from https://r2a.com.au/risk-management-framework-project-due-diligence/&lt;/ref&gt;. In fact, many large-scale projects are not put through a thorough review process, resulting in excessive costs and delays. Large projects often have common similarities, going over budget, take longer than expected, and deliver less value than predicted. The primary reason of it happening is often a lack of upfront due diligence. Enforcing upfront accountability on project managers may lead to a more thorough and comprehensive due diligence. Project managers often take a reactive approach, where they spend a considerable amount of time analyzing why tasks fell behind and money was overspent. However, if the proactive approach was taken more often, resulting in the investment in upfront due diligence, projects would be better planned and executed &lt;ref name=DF&gt; Jahagirdar, Ketan (2019), Mitigate Project Risk With Upfront Due Diligence And Accountability, Retrieved April 26 from https://www.forbes.com/sites/forbesbusinesscouncil/2019/11/25/mitigate-project-risk-with-upfront-due-diligence-and-accountability/?sh=401c2e303ebc &lt;/ref&gt;.</div></td></tr> <tr><td colspan="2" class="diff-side-deleted"></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div><ins style="font-weight: bold; text-decoration: none;"></ins></div></td></tr> <tr><td colspan="2" class="diff-side-deleted"></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div><ins style="font-weight: bold; text-decoration: none;">[[File:process.png|thumb|right|upright=2.0|Figure1: Project Due Diligence Process &lt;ref name=UOA/&gt;''.]]</ins></div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Identifying the risk controls is only the first step. To aid this process, project managers may use a risk catalogue, which is a structured compilation of potential project risk events. The risk catalogue provides a list of known areas of uncertainty, however, the list is open-ended, meaning that they may need to look beyond the list in order to identify unusual but critical risks. The risk catalogue can also be used to enter preventative or reactive measures for risk avoidance &lt;ref name=DJ&gt; Thuesen, Christian, Oehmen, Josef. Week 10 – Risk, Uncertainty, Ignorance, 25. April 2023. &lt;/ref&gt;. A risk catalogue of the most common risks that can occur within a project or program, used as a guidance and practical resource for project risk assessment usually consist of these seven categories &lt;ref name=DK&gt; Simplilearn (2023), 13 Common Project Risks and How to Tackle Them, Retrieved April 15 from https://www.simplilearn.com/common-project-risks-article &lt;/ref&gt;:</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Identifying the risk controls is only the first step. To aid this process, project managers may use a risk catalogue, which is a structured compilation of potential project risk events. The risk catalogue provides a list of known areas of uncertainty, however, the list is open-ended, meaning that they may need to look beyond the list in order to identify unusual but critical risks. The risk catalogue can also be used to enter preventative or reactive measures for risk avoidance &lt;ref name=DJ&gt; Thuesen, Christian, Oehmen, Josef. Week 10 – Risk, Uncertainty, Ignorance, 25. April 2023. &lt;/ref&gt;. A risk catalogue of the most common risks that can occur within a project or program, used as a guidance and practical resource for project risk assessment usually consist of these seven categories &lt;ref name=DK&gt; Simplilearn (2023), 13 Common Project Risks and How to Tackle Them, Retrieved April 15 from https://www.simplilearn.com/common-project-risks-article &lt;/ref&gt;:</div></td></tr> <tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l51">Line 51:</td> <td colspan="2" class="diff-lineno">Line 53:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Conducting a project due diligence is an interdisciplinary process of assessing the aforementioned categories and carrying out a comprehensive due diligence, which would assist project managers to better deal with the uncertainty associated with the given project. By detecting these risks, it might prevent the project from total or partial failure &lt;ref name=DL&gt; Hoffman, Scott L.L. (2001). The Law and Business of International Project Finance (2nd ed. 2001 ed.). Transnational Publishers. &lt;/ref&gt;.  </div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Conducting a project due diligence is an interdisciplinary process of assessing the aforementioned categories and carrying out a comprehensive due diligence, which would assist project managers to better deal with the uncertainty associated with the given project. By detecting these risks, it might prevent the project from total or partial failure &lt;ref name=DL&gt; Hoffman, Scott L.L. (2001). The Law and Business of International Project Finance (2nd ed. 2001 ed.). Transnational Publishers. &lt;/ref&gt;.  </div></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div><del style="font-weight: bold; text-decoration: none;"></del></div></td><td colspan="2" class="diff-side-added"></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div><del style="font-weight: bold; text-decoration: none;">[[File:process.png|thumb|right|upright=2.0|Figure1: Project Due Diligence Process &lt;ref name=UÓA/&gt;''.]]</del></div></td><td colspan="2" class="diff-side-added"></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>== Project due diligence in construction projects ==</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>== Project due diligence in construction projects ==</div></td></tr> </table>

Unnaroli http://13.50.150.85/index.php?title=The_Role_of_Due_Diligence_in_Project_Management&diff=142080&oldid=prev 2023-05-08T19:04:31Z

<p></p> <table style="background-color: #fff; color: #202122;" data-mw="interface"> <col class="diff-marker" /> <col class="diff-content" /> <col class="diff-marker" /> <col class="diff-content" /> <tr class="diff-title" lang="en-GB"> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">← Older revision</td> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">Revision as of 19:04, 8 May 2023</td> </tr><tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l52">Line 52:</td> <td colspan="2" class="diff-lineno">Line 52:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Conducting a project due diligence is an interdisciplinary process of assessing the aforementioned categories and carrying out a comprehensive due diligence, which would assist project managers to better deal with the uncertainty associated with the given project. By detecting these risks, it might prevent the project from total or partial failure &lt;ref name=DL&gt; Hoffman, Scott L.L. (2001). The Law and Business of International Project Finance (2nd ed. 2001 ed.). Transnational Publishers. &lt;/ref&gt;.  </div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Conducting a project due diligence is an interdisciplinary process of assessing the aforementioned categories and carrying out a comprehensive due diligence, which would assist project managers to better deal with the uncertainty associated with the given project. By detecting these risks, it might prevent the project from total or partial failure &lt;ref name=DL&gt; Hoffman, Scott L.L. (2001). The Law and Business of International Project Finance (2nd ed. 2001 ed.). Transnational Publishers. &lt;/ref&gt;.  </div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td colspan="2" class="diff-side-deleted"></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div><ins style="font-weight: bold; text-decoration: none;">[[File:process.png|thumb|right|upright=2.0|Figure1: Project Due Diligence Process &lt;ref name=UÓA/&gt;''.]]</ins></div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>== Project due diligence in construction projects ==</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>== Project due diligence in construction projects ==</div></td></tr> </table>

Unnaroli http://13.50.150.85/index.php?title=The_Role_of_Due_Diligence_in_Project_Management&diff=141997&oldid=prev 2023-05-08T18:40:13Z

<p></p> <table style="background-color: #fff; color: #202122;" data-mw="interface"> <col class="diff-marker" /> <col class="diff-content" /> <col class="diff-marker" /> <col class="diff-content" /> <tr class="diff-title" lang="en-GB"> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">← Older revision</td> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">Revision as of 18:40, 8 May 2023</td> </tr><tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l26">Line 26:</td> <td colspan="2" class="diff-lineno">Line 26:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Projects have differences based on their own unique characteristics. In that case, no two projects are alike since they vary in size, budget, duration, and associated risks. However, they do share similarities. As previously stated, the scope of the project may differ, however, conducting a project due diligence should be relatively similar for all projects. Although there is not a specific template to follow when carrying out project due diligence, there are some common characteristics for every due diligence process:</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>Projects have differences based on their own unique characteristics. In that case, no two projects are alike since they vary in size, budget, duration, and associated risks. However, they do share similarities. As previously stated, the scope of the project may differ, however, conducting a project due diligence should be relatively similar for all projects. Although there is not a specific template to follow when carrying out project due diligence, there are some common characteristics for every due diligence process:</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>Due diligence is a preventative approach rather than a reactive approach. It is important that the project manager takes a proactive approach, so that the company can limit their need for reactive responses that may result in high costs for the company. The primary objective is to prevent causing harm to people and the environment, as well as avoid any negative impacts that are directly linked to the operations or processes of the project. If negative impacts cannot be avoided, companies should use due diligence to mitigate, prevent recurrence, and remediate them &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>Due diligence is a <ins style="font-weight: bold; text-decoration: none;">''</ins>preventative<ins style="font-weight: bold; text-decoration: none;">'' </ins>approach rather than a reactive approach. It is important that the project manager takes a proactive approach, so that the company can limit their need for reactive responses that may result in high costs for the company. The primary objective is to prevent causing harm to people and the environment, as well as avoid any negative impacts that are directly linked to the operations or processes of the project. If negative impacts cannot be avoided, companies should use due diligence to mitigate, prevent recurrence, and remediate them &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>Due diligence is commensurate with risk. In other words, the level of project due diligence carried out should be directly proportional to the level of risk associated with the project. Often, risks are given a risk rating according to the probability of the risk occurring and the impact the said risk may have on the project. When the risk rating of a given risk is high, the due diligence becomes more extensive &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>Due diligence is <ins style="font-weight: bold; text-decoration: none;">''</ins>commensurate<ins style="font-weight: bold; text-decoration: none;">'' </ins>with risk. In other words, the level of project due diligence carried out should be directly proportional to the level of risk associated with the project. Often, risks are given a risk rating according to the probability of the risk occurring and the impact the said risk may have on the project. When the risk rating of a given risk is high, the due diligence becomes more extensive &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>Due diligence can involve prioritization of risks. The project manager should prioritize the risks according to the probability of the individual risk occurring and the impact it may have on the project. It is not feasible to deal with every risk at once, so the risk with the most negative impact is dealt with first. When the risks resulting in the most negative impacts have been dealt with, the less significant risks will then be addressed &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>Due diligence can involve <ins style="font-weight: bold; text-decoration: none;">''</ins>prioritization<ins style="font-weight: bold; text-decoration: none;">'' </ins>of risks. The project manager should prioritize the risks according to the probability of the individual risk occurring and the impact it may have on the project. It is not feasible to deal with every risk at once, so the risk with the most negative impact is dealt with first. When the risks resulting in the most negative impacts have been dealt with, the less significant risks will then be addressed &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>Due diligence is dynamic and not static. The due diligence process is ongoing, responsive, and changing. If new risks, with higher probability of negative impacts are identified later in the process, they are immediately moved higher on the list of risks waiting to be dealt with accordingly. It is important that the project manager takes the dynamic approach, where he regularly reviews the prioritization of risks and updates the list when new risks are identified &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>Due diligence is <ins style="font-weight: bold; text-decoration: none;">''</ins>dynamic<ins style="font-weight: bold; text-decoration: none;">'' </ins>and not static. The due diligence process is ongoing, responsive, and changing. If new risks, with higher probability of negative impacts are identified later in the process, they are immediately moved higher on the list of risks waiting to be dealt with accordingly. It is important that the project manager takes the dynamic approach, where he regularly reviews the prioritization of risks and updates the list when new risks are identified &lt;ref name=DS_31010&gt; OECD (2019), Due Diligence for Responsible Corporate Lending and Securities Underwriting: Key considerations for banks implementing the OECD Guidelines for Multinational Enterprises, Retrieved April 27 from https://mneguidelines.oecd.org/due-diligence-guidance-for-responsible-business-conduct.htm &lt;/ref&gt;.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>When conducting project due diligence, it is important to keep in mind the aforementioned characteristics in order to maintain the risk profile. Project managers need to keep an updated list of all identified risks within the project to ensure that decisions are made with the latest available information. Additionally, the project’s scope and objectives should frequently be reviewed, in order to make sure they are still aligned with the company’s goals &lt;ref name=DG&gt; Smith, Nigel J., Merna, Tony, Jobling, Paul. (2006). Managing Risk in Construction Projects (2nd ed. 2006 ed.). Blackwell. &lt;/ref&gt;.</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>When conducting project due diligence, it is important to keep in mind the aforementioned characteristics in order to maintain the risk profile. Project managers need to keep an updated list of all identified risks within the project to ensure that decisions are made with the latest available information. Additionally, the project’s scope and objectives should frequently be reviewed, in order to make sure they are still aligned with the company’s goals &lt;ref name=DG&gt; Smith, Nigel J., Merna, Tony, Jobling, Paul. (2006). Managing Risk in Construction Projects (2nd ed. 2006 ed.). Blackwell. &lt;/ref&gt;.</div></td></tr> </table>

Unnaroli http://13.50.150.85/index.php?title=The_Role_of_Due_Diligence_in_Project_Management&diff=141982&oldid=prev 2023-05-08T18:33:14Z

<p></p> <table style="background-color: #fff; color: #202122;" data-mw="interface"> <col class="diff-marker" /> <col class="diff-content" /> <col class="diff-marker" /> <col class="diff-content" /> <tr class="diff-title" lang="en-GB"> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">← Older revision</td> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">Revision as of 18:33, 8 May 2023</td> </tr><tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l10">Line 10:</td> <td colspan="2" class="diff-lineno">Line 10:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>== The Big Idea: An Introduction ==</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>== The Big Idea: An Introduction ==</div></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>Although due diligence is not a new concept, project due diligence is relatively new and has grown in significance over time. It is a term describing the process of evaluating a company, an investment, or a project. (<del style="font-weight: bold; text-decoration: none;">11</del>) Project due diligence is not a legal obligation, it is a voluntary management tool that is part of a responsible risk management strategy &lt;ref name=DD&gt; e3 Plus (2003), E3 Plus: A Framework for Responsible Exploration, Retrieved April 20 from https://www.pdac.ca/docs/default-source/priorities/responsible-exploration/e3-plus---common/e3-plus---toolkits---social-responsibility/due-diligence.pdf?sfvrsn=67c734e2_4 &lt;/ref&gt;. When it comes to project management it is of great importance to have a project scope for a given project to ensure that the project is properly planned, carried out and ultimately achieves its intended goals. It involves conducting a comprehensive analysis of the upcoming project to identify potential risks and challenges that may impact its success. However, conducting a due diligence is about reducing the uncertainty rather than to eliminate it &lt;ref name=DG&gt; Smith, Nigel J., Merna, Tony, Jobling, Paul. (2006). Managing Risk in Construction Projects (2nd ed. 2006 ed.). Blackwell. &lt;/ref&gt;. Project failures are often the result of the lack of a proper due diligence.</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>Although due diligence is not a new concept, project due diligence is relatively new and has grown in significance over time. It is a term describing the process of evaluating a company, an investment, or a project <ins style="font-weight: bold; text-decoration: none;">&lt;ref name=DP&gt; Pan, Jing, Rapp, Randy R., Cox, Robert F</ins>. (<ins style="font-weight: bold; text-decoration: none;">2012</ins>)<ins style="font-weight: bold; text-decoration: none;">. Construction Due Diligence in Different Project Delivery Systems (2nd ed. 2012 ed.). China Architecture &amp; Building Press. &lt;/ref&gt;. </ins>Project due diligence is not a legal obligation, it is a voluntary management tool that is part of a responsible risk management strategy &lt;ref name=DD&gt; e3 Plus (2003), E3 Plus: A Framework for Responsible Exploration, Retrieved April 20 from https://www.pdac.ca/docs/default-source/priorities/responsible-exploration/e3-plus---common/e3-plus---toolkits---social-responsibility/due-diligence.pdf?sfvrsn=67c734e2_4 &lt;/ref&gt;. When it comes to project management it is of great importance to have a project scope for a given project to ensure that the project is properly planned, carried out and ultimately achieves its intended goals. It involves conducting a comprehensive analysis of the upcoming project to identify potential risks and challenges that may impact its success. However, conducting a due diligence is about reducing the uncertainty rather than to eliminate it &lt;ref name=DG&gt; Smith, Nigel J., Merna, Tony, Jobling, Paul. (2006). Managing Risk in Construction Projects (2nd ed. 2006 ed.). Blackwell. &lt;/ref&gt;. Project failures are often the result of the lack of a proper due diligence.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>When the scope of the project has been established the project objectives are defined. It depends on the specific context of a given project what the project objectives will be. It is important to first identify the forces of uncertainty and where the uncertainty is coming from before the risk landscape can be effectively organized. To properly manage the risk, project due diligence must be incorporated into management and planning procedures &lt;ref name=DA&gt; Thuesen, Christian, Oehmen, Josef. Uncertainty slides – Jan 2023, 24. April 2023. &lt;/ref&gt;.</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>When the scope of the project has been established the project objectives are defined. It depends on the specific context of a given project what the project objectives will be. It is important to first identify the forces of uncertainty and where the uncertainty is coming from before the risk landscape can be effectively organized. To properly manage the risk, project due diligence must be incorporated into management and planning procedures &lt;ref name=DA&gt; Thuesen, Christian, Oehmen, Josef. Uncertainty slides – Jan 2023, 24. April 2023. &lt;/ref&gt;.</div></td></tr> </table>

Unnaroli http://13.50.150.85/index.php?title=The_Role_of_Due_Diligence_in_Project_Management&diff=141976&oldid=prev 2023-05-08T18:30:02Z

<p></p> <table style="background-color: #fff; color: #202122;" data-mw="interface"> <col class="diff-marker" /> <col class="diff-content" /> <col class="diff-marker" /> <col class="diff-content" /> <tr class="diff-title" lang="en-GB"> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">← Older revision</td> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">Revision as of 18:30, 8 May 2023</td> </tr><tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l50">Line 50:</td> <td colspan="2" class="diff-lineno">Line 50:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>#&#039;&#039;&#039;IT:&#039;&#039;&#039; The IT risks include risks associated with the project’s IT services and infrastructure. System failure must be prevented during the project’s life cycle.  </div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>#&#039;&#039;&#039;IT:&#039;&#039;&#039; The IT risks include risks associated with the project’s IT services and infrastructure. System failure must be prevented during the project’s life cycle.  </div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>Conducting a project due diligence is an interdisciplinary process of assessing the aforementioned categories and carrying out a comprehensive due diligence, which would assist project managers to better deal with the uncertainty associated with the given project. By detecting these risks, it might prevent the project from total or partial failure. (<del style="font-weight: bold; text-decoration: none;">10</del>)  </div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>Conducting a project due diligence is an interdisciplinary process of assessing the aforementioned categories and carrying out a comprehensive due diligence, which would assist project managers to better deal with the uncertainty associated with the given project. By detecting these risks, it might prevent the project from total or partial failure <ins style="font-weight: bold; text-decoration: none;">&lt;ref name=DL&gt; Hoffman, Scott L.L</ins>. (<ins style="font-weight: bold; text-decoration: none;">2001</ins>)<ins style="font-weight: bold; text-decoration: none;">. The Law and Business of International Project Finance (2nd ed. 2001 ed.). Transnational Publishers. &lt;/ref&gt;. </ins></div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>== Project due diligence in construction projects ==</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>== Project due diligence in construction projects ==</div></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>The construction industry is an inherently risky industry, so managing the risks associated with any construction project is essential for its successful completion. At the start of a construction project, different entities, such as government agencies, municipal associations or towns put out bids for contractors to participate in a construction project. In order to conduct a sufficient due diligence, all aspects of the project must be taken into account during the comprehensive review and analysis. As each construction project has its own risks and areas of needed due diligence, there is no ideal way to carry out the due diligence. However, this checklist is designed to provide a broad overview of areas to consider when conducting the project due diligence. This risk catalogue has been tailored for construction projects and consists of the most common risks that can occur during a construction project and should be used as a guidance when conducting the due diligence (<del style="font-weight: bold; text-decoration: none;">10</del>):</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>The construction industry is an inherently risky industry, so managing the risks associated with any construction project is essential for its successful completion. At the start of a construction project, different entities, such as government agencies, municipal associations or towns put out bids for contractors to participate in a construction project. In order to conduct a sufficient due diligence, all aspects of the project must be taken into account during the comprehensive review and analysis. As each construction project has its own risks and areas of needed due diligence, there is no ideal way to carry out the due diligence. However, this checklist is designed to provide a broad overview of areas to consider when conducting the project due diligence. This risk catalogue has been tailored for construction projects and consists of the most common risks that can occur during a construction project and should be used as a guidance when conducting the due diligence <ins style="font-weight: bold; text-decoration: none;">&lt;ref name=DL&gt; Hoffman, Scott L.L. </ins>(<ins style="font-weight: bold; text-decoration: none;">2001</ins>)<ins style="font-weight: bold; text-decoration: none;">. The Law and Business of International Project Finance (2nd ed. 2001 ed.). Transnational Publishers. &lt;/ref&gt;</ins>:</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>#&#039;&#039;&#039;Contractor experience:&#039;&#039;&#039; The first step when evaluating viable candidates in a tender is their experience and quality standard during similar projects. The outcome of the project is dependent on the contractors, so both the contractor and subcontractors must be evaluated.  </div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>#&#039;&#039;&#039;Contractor experience:&#039;&#039;&#039; The first step when evaluating viable candidates in a tender is their experience and quality standard during similar projects. The outcome of the project is dependent on the contractors, so both the contractor and subcontractors must be evaluated.  </div></td></tr> </table>

Unnaroli