Assignment3 Group
Assignment3 Group
Assignment3 Group
How
do you decide this?
Post the Critical Events Readiness Review (CERR), it was observed that though
the tiger team and project engineers had solved most of the BMSA instruments
issue, new issues continued to crop in. There were two critical reasons remaining
The overall probability of success of the EDL stage was about 80% while the
board wanted about 96% probability of success before it could recommend a
launch.
Hence it is recommended that the project be delayed since that would
facilitate
New images could be obtained in a few months which would reduce the
likelihood of landing site failure below 5%.
Though delay could severely diminish the reputation and erode taxpayer and
Congressional support for future projects ,however the project failure can
have catastrophic effects on the prospectus of future projects in the pipeline
BMSA
Radar SSAS
LIKELIHOOD
Landing
Site
Heat Shield,
Parachute,
Solar Array
1
CONSEQUENCE
Flagship missions costing more than $2 billion 96%probability of success
expected
Discovery mission at cost of $0.5 billion90%
Low cost missions 70%
Identification
Analysis
Evaluation
Treatment
Monitoring
Categorization
of
risks
Governance,strategic,operational,compliance,reporting
Typically, across the organization,
Risks and controls are mapped to the business objective of each process.
Risks are collated from all known internal and external sources.
Risk captured with a neasurable KRI (Key Risk Indicator) and associated
mitigation plans.
Periodic risk dashboards are placed for review with Senior Management and
Audit committee.
3. Do you consider Lee as a Good Chief Risk Officer (CRO)? Justify your
decision.
Yes, Lee was a good Chief Risk Officer since
He understood that risk mitigation was not a natural act for humans to
perform.
JPL engineers from top schools used to getting things right and got
them to get comfortable with the thought of all the things that could go
wrong.
Change
from
Faster,
Better,
and
Cheaper
toIntellectual
Confrontation- Risk taking at NASA and JPL was rampant and culturally
accepted especially after the faster, better, cheaper mission which resulted
in two major failures. Countered the overconfidence and optimism of the
technically strong and capable project engineers.
4. What challenges Lee faced in MBE? Suppose you are the CRO at your
organization what will be the challenges you face (one organization
may be considered for each group)
The challenges that Lee faced were that at the PMSR stage there were about 6
yellow category risks which later in the CDR and CERR stages changed to six with 2
of them being critical(one in YELLOW and the other in RED category).The overall
probability of success of the EDL stage was at 80% which was lower than the boards
comfortable limit f first digit in the likelihood of success at 9.For flagship missions,
costing more than $ 2billion,the board expected a 96% probability of success before
it could recommend a launch. The challenge that Lee was the critical decision
whether to go ahead with the launch and risk the failure of the entire Mars mission
which if failed would adversely affect the future prospectus of projects in pipeline,
and delaying the project which could add between 20-40% to the cost of the entire
project and require re-analysis and diminish the reputation and erode the taxpayers
and Congressional support for future projects.
The challenges faced in our organizations are typically associated with the rapid
changes in the business models and increased competition and the market risks,
fluctuations in the exchange rates, constant up gradation of technology and most
importantly retention of the skilled manpower.
5.
Culture?
Yes, the risk management policy was in alignment with JPLs strategy and culture.
The objective of JPL was to have successful projects for which they encouraged a be
bold, take risks strategy which required risk mitigation to be embedded in the
lifecycle of a project and constant questioning, challenging of accepted facts and
intellectual confrontation which was crucial in an organization like JPL where risk
taking was rampant and consisted of top engineers who were too used to getting
things right always. This was a major improvement over the previous strategy of
Faster, better, cheaper strategy which overlooked critical risk factors at the cost of
project launch leading to subsequent project failures.