Abstract

In this paper, an analysis of the current project risk management

Procedure followed by the Spanish Business Unit of an automotive

multinational company, which manufactures steering wheels and airbag

modules.

Different changes are established in the current procedure for the purpose of

defining and implementing a project risk management procedure more useful

and efficient.

Introduction

In the competitive business environment, organizations are seeking to get and stay

ahead of the competition by making significant advances in the products and

services, and operating as efficiently as possible.

Many businesses use projects as vehicles to deliver that competitive advantage.

Clearly each organization wishes to move ahead as quickly as possible, and that

involves taking risk as the business exposes itself to a range of uncertainties that

could affect whether or not it achieves its desired aim.

Risk can be broadly defined as the probability of variation surrounding an

anticipated outcome. Risk has been examined across multiple

Disciplines, including economics and management.

Within the project management context, the important thing is not keep risk out

Projects, but to ensure that the inevitable risk associated with every project is at a

level which is acceptable, and it is effectively managed.

A project risk management includes the processes concerned with identifying,

analyzing and responding to project risk.

It includes maximizing the results of positive events and minimizing the

consequences of adverse events

In the automotive industry, lead time to develop and industrialize new vehicles

is significantly decreasing in order to achieve competitiveness with the new

models.

This fact makes difficult to detect possible errors related to the associated