PanamaRunning Head: Project Risk Management
Project Risk Management – Course Project I
Devry University/Keller Graduate School
PROJ-595-62659 Project Risk Management
Professor Bill Lewis
July 28, 2012
The Panama Canal project started twice; the initial project began in France during 1879 at the “International Congress” to study the feasibility of a canal connecting the Atlantic and Pacific oceans through Central America sponsored by Ferdinand de Lesseps and the second was in 1904 and conceived by President Theodore Roosevelt. (Tom Kendrick, PMP)
The initial Panama Canal plans’ ideas included a “lock-and-dam” concept and a seal-level canal concept. The sea-level canal concept was adopted although this plan was not supported by nearly all engineers consulted on this project.
The project was taken on by Ferdinand de Lesseps who successfully completed the Suez Canal in 1869, which earned de Lesseps the nickname “The Great Engineer,” (Tom Kendrick, PMP)
However, with lack of a precise project definition, poor planning sporadic reporting and generally inaccurate (or even dishonest) along with undefined, poor or ignored risk identification the project failed. The project was privately funded and the collapse caused complete financial losses for all the investors. Directly as a result of this project failure, the French government fell in 1892, ending one of the messiest and most costly project failures in history. (Tom Kendrick, PMP)
The second time the Panama Canal project was initiated was in 1901 when Theodore Roosevelt became president and decided to make successful completion of a Central American canal part of his presidential legacy. (Tom Kendrick, PMP) Additionally, the project was financed as a military project by the United States government. The project began in 1904 and completed in and when completed in 1914, the Panama Canal was the largest and most significant...