Warner glared his famous glare, and for once, he had a legitimate complaint. "Let me see if I have this right," he began. "You knew back in July that we had memory footprint problems, but you waited to report it until now. Is that right?"
Robin had nowhere to go. "Yes, that's right. We felt it was best to wait until we were sure we had a problem."
"Well, we have a problem now, don't we?" Warner replied.
"Yes, and that's why…" Robin began, but Warner wouldn't let her finish.
"That's why you're reporting it, I know, I know."
Robin has made a serious error, but the mistake isn't hers alone. She failed to alert the project sponsor to a problem when she first became aware of it. And Warner's intimidating style tends to discourage early reporting of trouble.
Together, they're living out one of the consequences of status risk: the risk of failing to report status promptly and fully. Here are some sources of status risk:Status risk is high
when realistic status
reporting is punishable
- Rewarding positive reports and punishing negative reports
- At any link in the status reporting chain, the report recipient might be signaling that only positive reports are acceptable. The signal can be unintentional, or it can be very deliberate.
- Prior experience
- People can bring to the reporting task their experiences with prior projects or prior managers. If they've learned along the way that realistic reporting is punishable, they're likely to apply those past lessons.
- When new people assume responsibility for work underway, their perceptions about status are likely to be inaccurate.
- Wishful thinking
- Because most of us want things to go well, we sometimes fool ourselves that our wishes match reality, especially if we've become attached to the task. See "Managing Wishful Thinking Risk," Point Lookout for October 21, 2015, for more about wishful thinking.
Making status reporting a group task helps mitigate status risk. Form a status review team that's responsible for reviewing status reports. Normally, they'll easily reach consensus, but any failure to reach consensus is valuable information in itself — it signals the need for a closer look by management.
Even when we manage Status Risk, there remains the too-common failure to report — or even to track — Risk Status. Most status reports focus on budget, schedule, milestones achieved, work completed, and so on. But we rarely report or track the status of our initial risk profile, and that can lead to surprised (and very upset) project sponsors. Including a review of the risk profile in each status report helps to limit the incidence of surprising disasters.
Status Risk and Risk Status are intimately intertwined. In part, the sources of status risk contribute to our spotty reporting of risk status. And by creating the conditions for surprising disasters, failure to track risk status can enhance status risk. Address both — or don't bother. Top Next Issue
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More articles on Project Management:
- Scheduling as Risk Management
- When we schedule a complex project, we balance logical order, resource constraints, and even politics.
Here are some techniques for using scheduling to manage risk and reduce costs.
- See No Evil
- When teams share information among themselves, they have their best opportunity to reach peak performance.
And when some information is withheld within an elite group, the team faces unique risks.
- Nine Project Management Fallacies: IV
- Some of what we "know" about managing projects just isn't so. Understanding these last three
of the nine fallacies of project management helps reduce risk and enhances your ability to complete
- The Injured Teammate: I
- You're a team lead, and one of the team members is very ill or has been severely injured. How do you
handle it? How do you break the news? What does the team need? What do you need?
- More Obstacles to Finding the Reasons Why
- Retrospectives — also known as lessons learned exercises or after-action reviews — sometimes
miss important insights. Here are some additions to our growing catalog of obstacles to learning.
See also Project Management for more related articles.
Forthcoming issues of Point Lookout
- Coming May 2: Narcissistic Behavior at Work: VII
- Narcissistic behavior at work prevents trusting relationships from developing. It also disrupts existing relationships, and generates toxic conflict. One class of behaviors that's especially threatening to relationships is disregard for the feelings of others. In this part of our series we examine the effects of that disregard. Available here and by RSS on May 2.
- And on May 9: Unethical Coordination
- When an internal department or an external source is charged with managing information about a large project, a conflict of interest can develop. That conflict presents opportunities for unethical behavior. What is the nature of that conflict, and what ethical breaches can occur? Available here and by RSS on May 9.
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