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    Automated Mobile Defense System (AMDS)-Risk Management

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    You work for a major defense contractor. Your company prepared and submitted a bid for a recent Department of Defense RFP, entitled Automated Mobile Defense System (AMDS). You have been assigned to lead Project X, which will design, develop, test, demonstrate and deploy 10 AMDS units to a location to be determined by the DoD assuming a successful demonstration. This project is expected to take at least 5 years to complete at a cost of $1.5 billion. If you are successful and deliver a quality product on time and within budget, the DoD will order 150 more AMDS units at a price of $10 million per unit. The goal of Project X is to develop a defense system to protect major and strategic cities within the US in the event of a missile attack from a hostile nation. It is to be a redundant system; the last in a series of defensive weapons to be used only in the event that all other defensive systems have failed; when enemy ABMs are approaching the US and only AMDS is left to take them down.

    The conceptual design for the AMDS that your company submitted in response to the RFP consists of a mobile housing unit (MHU) containing 20 anti-ballistic missiles (ABMs) based on a radically new design; an anti-missile control computer (AMCC) used to automatically target and deploy the ABMs; and a retrofitted detection device (code name: SKYEYE) built on proven, patented radar technology which your company owns. All of these devices: the ABMs, the AMCC and SKYEYE will be completely housed in the MHU, which is planned to be an enhanced18-wheel tractor-trailer. A self-contained power source (for the ABMs) and solar charged batteries for the AMCC and SKYEYE make the entire AMDS portable and completely automatic (no personnel are required to operate any of the systems). However, military personnel on a regular basis will perform routine system monitoring and maintenance, preferably from a remote site. On-site maintenance should only be needed on rare occasions expected to arise from unforeseen events such as earthquake, tornados, ice storms, etc. Should it become necessary, military personnel will move the AMDS to a location known only to them. While it was not included in the design accepted by the DoD, your company would like to be able to provide additional capability with the system: they would like the AMDS to be able to operate while it is being moved.

    You are the project manager and oversee the efforts of over a dozen nuclear scientists, engineers, and technology professionals. Many of them are acquainted with the rudiments of project management, but very few know much about project risk management. You'll need to do some education along with managing schedule, budget and scope.


    You got the go-ahead to do risk management for Project X, but you need to do without using outside resources.
    Using quantitative and qualitative risk assessment methods, identify potential risks for Project X.

    I am looking for any guidance on this task as I am a HRM major so quantitative/qualitative risk assessment methods are very unclear to me. Thus, guidance to clear the haze or direction - any assistance would be greatly appreciated!

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    Solution Preview

    Potential Risks for Project X:

    Delay in completion of the project on time due to complexity and scale of the work involved and other unforeseen events such as terrorist attacks, political instability, etc.

    Shortage of funds due to increase in project budget, leading to further delay in the completion of the project and loss of future business from Department of Defense.

    Risks related to leakage of project related sensitive information due to the extremely confidential nature of the project as it relates to national security and defense.

    Lack of experience among team members with respect to project risk management leading to chaos and confusion in the event some unforeseen event occurs during the project.

    Changes to be made in project scope due to inclusion of additional tasks and changes in product design and development, which is originally not ...

    Solution Summary

    Automated Mobile Defense System (AMDS)-Risk Management