Contingency Planning: How to Create a Contingency Plan

Things go wrong. So, you need to be prepared to deal with the situation. This means having a Contingency Plan. But, how do you create one?

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‘What could go wrong, that we need to prepare for?’

Preparing a Contingency Plan

I have split the process of developing and maintaining a contingency plan into 6 steps. Some of these have a number of elements within them.

The same, by the way, is true of a contingency plan. It can cover one particular contingency. But, more likely, it will be a composite plan covering a range of contingencies.

Operational Contingency Plans

Most organizations will have operational contingency plans. If yours does not, I have to wonder… ‘why?’ The process for project contingency planning is much the same, though I will, of course, tailor my description to the Project Management context.

In reality, however, smaller, less complex projects are unlikely to need project contingency plans. However, you may identify one or more specific risks that merit their own contingency plan.

Six-step Contingency Planning Process

So, here is my six-step Process…

Step 1: Risk Assessment

• Start with risk assessment and scenario analysis
• Ask ‘What can go wrong, that we need to prepare for?’
• Evaluate and prioritize the risks/scenarios

Step 2: Contingency Plan Structure

• Determine what strategies you can bring to bear, to resolve the situation in the scenario
• Consider the need for:
  • H&S focus
  • Business Continuity (keep the business running)
  • Disaster Recovery (of IT/Comms systems)
  • Crisis Management (Comms and Reputation Protection)
• The outline plan needs to identify:
  • Trigger
  
  
  • First response (and first responders)
  
  
  • Tier 2 response, responders, authority

Step 3: Detailed Contingency Planning

• What resources you will need:
  • Ready to hand
  
  
  • To gather at the time (call sheets for people)
  • Agencies & contractors to call on
• Roles, Responsibilities, and authority for people
• Communications plan:
  • Who needs to know (internal & external)
  • Contact details

Step 4: Creating Your Contingency Plan

• Drafting plan
• Review and testing
• Sign-off into active status

Step 5: Making Your Contingency Plan Live

• Communicate your contingency plan
• Train people
• Consider the value of rehearsals

Step 6: Maintaining the Contingency Plan

• Regular review and revisions
• Update training

Recommended Videos and Articles to Help with Contingency Planning

Carefully curated video recommendations for you:

• What if? 10 Things to Build into Your Project Contingency Plan | Video
• Project Risk Management – How to Manage Project Risk | Video
• Ultimate Guide to Project Risk Management
• Risk Management 101: An Introduction to Project Risk Management
• How to Create a Risk Management Plan | Video
• What to Put in Your Risk Register (Risk Log) | Video
• 5 Ways to Remove a Risk Entirely | Video
• Project Crisis… Are you Ready?
• Navigating a Crisis: A Project Manager’s Guide to Crisis Management
• How to Keep Cool in a Crisis: Stay calm when your project goes wrong!! | Video
• What is a Disaster Recovery Plan? | Video

What Kit does a Project Manager Need?

I asked Project Managers in a couple of forums what material things you need to have, to do your job as a Project Manager. They responded magnificently. I compiled their answers into a Kit list. I added my own. 

Check out the Kit a Project Manager needs

Note that the links are affiliated.

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