1 Discuss the type of risks that may occur in a high-tech product development project of your choice (e.g., computer, pharmaceutical, automotive, etc.).
High-tech product development projects may confront a number of risks, which originate from external as well as internal sources. In this regard, it is possible to refer to the product development project in the automotive industry. For instance, many companies today develop new vehicles which use alternative sources of energy instead of fossil fuels as conventional vehicles do. However, the development of such innovation raises the risk of the lack of demand because customers may feel anxious about reliability of new vehicles. In addition, customers may suffer from under-developed infrastructure, for instance, vehicles using alternative fuels will have a few stations to fuel them. On the other hand, employees of the company may resist to the introduction of new vehicles because they are accustomed to assemble conventional cars, while assembling new cars may need additional training, which employees are unwilling to undergo.
3 What kind of an \”early warning system\” could you implement to detect the type of risks discussed in question 1?
The marketing analysis is an effective warning system to prevent the rise of the risk of repulsion of the new product by customers. At any rate, the company may monitor the situation and find out the possible demand on its new vehicles. As for employees, the company should maintain effective communication within the company to gain the support of employees before the project has started.
6 Discuss the managerial leadership styles most conducive to risk management.
Basically, the transformational managerial leadership style is the most efficient in the time of changes because the leader helps employees to adapt to changes. The leader implements approaches that are the most efficient at the moment. Alternatively, the leader may implement the authoritarian leadership style, although this leadership style will be effective in a short run.