A company is implementing a growth strategy by constructing a new production facility, which will soon move into the operation phase. Although a governance policy was already in place, the company must comply with new financial regulations that have been recently implemented. Compliance with the regulations will cause a major change in project scope.
How should the project manager respond to this requirement?
When faced with a new requirement that causes a major change in project scope, the first step should be to perform an analysis to assess its impact on the project. This analysis will provide crucial information about the extent of the changes needed and their implications on the project's timeline, cost, resources, and overall feasibility. Proceeding without this assessment could lead to unforeseen complications. Existing governance policies may not account for new regulations, and escalating the issue or complying directly without understanding the impact might introduce risks or challenges that could have been mitigated with proper analysis.
A is only the first step. Then it will go to the CCB that have to comply with C.
A seems as a logic and correct answer, however it is said "Compliance with the regulations will cause a major change in project scope." - does this statement mean, that impact analysis was already done, otherwise how do we know there is a major changes involved?
A - first thing is Analysis and impact.
A. Perform an analysis to assess the Impact on the project.
I am considering Escalating to the higher mgmnt. As this is the type of unknown risk usually managed by the organization and probably impacting all projects. And reserve made for it is actually management reserve outside control of project manager.
A. Perform an analysis to assess the Impact on the project.
D. Since this is compliance requirement
A- PERFORM ANALYSIS BEFORE ESCALATE
A. Perform an analysis to assess the Impact on the project
Why not D. Directly comply with the new financial regulations? Because without it, going a head with the project is useless. Why first waste time doing analysis??
You will need to assess the impact, be it technical, financial or manpower in order to plan accordingly.