Research On Project Supply Chain Risk

Project supply chain can be a complex one-of-a-kind task development and itscomplexity coming from the connection and interactive between nodes in the network and theproject supply chain becomes the pass way that risk can be contagious along the nodes. In thepaper, we believe that risk dependency cause the contagious effect.This research formally models the risk dependency and proposes a managementmethodology to address risk dependencies. The focus is that we propose methods tore-estimate each identified risk by taking account of risk dependency effects, and we enhancea set of risk management practices to manage the re-estimated risk (named posterior risk).Asthe risk dependency effects can either increase or reduce the probabilities of those affectedrisks, we further propose a set of novel practices to evaluate, react, monitor and control therisk dependencies. In addition, we develop a set of metrics to measure the risk levels fromboth sub-project and project supply chain perspectives with due considerations of thedependencies between risks. From the case studies of three IT projects, we confirm that riskdependencies do exist in project supply chain, and can be identified and systematicallymanaged. We also observed that, as project teams needed to deal with risk dependency issues,communications between projects were improved, and there were synergetic effects inmanaging risks and risk dependencies among project.