Learn to be an Event Organiser
Course code - BRE209
- Scope and Nature of Event Management
- Developing the concept
- Physical and Human Resources
- Project Logistics
- Marketing an Event
- Financial Management
- Risk Management
- Staging the Event
- After the Event
Learn What Can Go Wrong
....and How to Deal with Such Risks
Some events succeed and some fail, others may not fail, but may fall short of set objectives, others may exceed expectations. No matter how a project proceeds and concludes - all will present with some form of risk (large or small) throughout the life of the project.
The probability of success is always going to be greater if you take time to consider the potential risks to a project, before you begin.
Project risk management is all encompassing: every part of a project is subject to risk - budgets, schedules, scope, quality, communications, stakeholder interaction and project implementation. Consider the following:
- Risks may be both positive and negative.
- Risk identification starts before the project commences.
- Risk management starts at the project’s commencement.
- Risk management is about awareness, through the life of a project, about what possibilities of risk exist, how to take action to minimize or prevent risk, or how to capitalise on positive risks (opportunities).
- Risk should be communicated to stakeholders – some forms may be acceptable to stakeholders. Some projects are high risk by nature.
- Identified risks require management strategies (agreeable to all appropriate parties involved in the project).
- Risks should be tracked, analysed and communicated appropriately from the start to end of a project.
Forms of Risk
There are two forms of risk in business – internal risk and external risk. Internal risk is associated with the project inside the business for example:
- Cash flow – lack of or erratic.
- Breakdown of equipment or machinery.
- Employees leaving – loss of key personnel.
- Safety compromises.
- Incorrect scheduling – resulting in product delay and missed deadlines.
- Cost risk – blowouts.
- Technology risk – out-dated technology; inefficient technology; wrong technology; using new unproven technology.
- Bad marketing; no marketing or weak marketing.
- Sales e.g. weak distribution networks; inefficient sales team; inexperienced sales team; unmotivated sales team.
- Management – poor decision-making processes; procrastination; lack of expertise and experience; poorly defined project aims and objectives; lack of support from higher management; internal politics (e.g. not everyone supports the project). Ad hoc management, laissez faire leadership; lack of well-defined and/or firm management structure;
- Poor staff management - poorly defined work roles and responsibilities. Poor selection of staff - not getting the right person for the job. Poor coordination/communication. Bad human relations - unresolved conflict, poor motivation of staff.
- Lack of resources (both human and physical); lack of employee expertise, lack of motivation, not enough staff. Erratic availability of resources from suppliers e.g. late supply, non-supply, oversupply; collapse of continuity of supply due to length of project or supplier going out of business. Under funding is just one type of resource deficiency.
- Poor research methods and poor data quality.
- Poor project sponsorship and/or lack of sponsor support
- Unrealistic plans.
- Setting unachievable goals or time frames
- Lack of response by the public (empty seats, low attendee rates)
- Key stakeholders pull out at the last minute
- Key people become ill
- Celebrities don’t turn up
- Power failures
- Transport disruption
External risk is how the project impacts on the world outside of the business for example:
- Acts of God (drought, flood, storm, fire, excessive heat, death or injury).
- Third party impacts e.g. government changing law, permits delayed, suppliers not delivering on time, change of project ownership or contractors, change of consultant.
- Market risks – change in demand.
- Economic risk; inflation; recession; change in cost of finance.
- Potential company mergers.
Anticipating the unexpected is an important aspect in any business (and in daily life). In event management it is important (for the success of the event) to consider a range of possibilities and formulate plans to deal with these, in the event that they arise.