Project Economics, Risk & Decision Analysis Training |Smart

Overview

Why Attend

This course offers a comprehensive course in Project Economics, Risk, and Decision Analysis. This is aimed at equipping attendees with necessary skills to analyse the economic feasibility of projects, manage effective risks, and then make decisions using analytical tools and techniques. It involves cost-benefit analyses and financial risk valuations, as well as dwelling on practical decision-making frameworks for real-life situations. This is achieved with lectures on risk management strategies, financial planning for projects, and the combined performance of relevant economic and financial indicators for successful projects even within dynamic environments.

Project Economics, Risk and Decision Analysis training course starts from the basic required parameters of inflation, interest, and the time value of money.

1. Risk Mitigation Techniques

In this course you will learn the risk mitigation techniques. Risk mitigation involves the strategies and actions that trim down the probability or impact of potential risks which may affect a project, business, or organisation. It is an essential part of project management as it helps ensure that project threats can be identified, managed, or minimised to proceed smoothly toward goals. Below are three key techniques for risk mitigation:

a. Risk avoidance:

Risk avoidance refers to the risk eliminating measures. These can include altering the project's scope, changing the project approach, or avoiding certain actions that may introduce risks. For example: restructuring the project to accommodate new requirements and hence avoid the risk when inevitable external risks face the project, like a change in regulations.

b. Risk transfer:

Risk transfer means transferring the burden for the management of a risk to a third party, most often through some type of contractual obligation or insurance. Risk transfer is beneficial most in those situations where the risk is of financial or legal nature. Insuring or outsourcing specific project activities to a contractor would mitigate risks as these liabilities are from the organisation.

c. Risk reduction:

It means that a measure is to lower the likelihood or impact of a risk. It's proactive action for lessening the severity of consequences if the risk occurs. Install preventive maintenance schedules so that machinery is inspected and serviced regularly to reduce the risk of equipment failure during projects.

2. Life cycle cost analysis

This course offers attendees to understand the concept of life cycle cost analysis, which is a key financial instrument in estimating the total cost of owning a project or asset over the entire life cycle. LCCA takes into account the initial costs, operational and maintenance costs, and disposal costs, thus providing a full financial picture. It allows comparing the total costs from acquisition through decommissioning so that decision-makers can find solutions that are cheapest in the long run and optimise the allocation of resources to short- and long-term goals.

Course Objectives

By the end of the course, participants will be able to:

Objectives:

The objectives of this course is to:

Learn how to handle uncertainty in projects
Understand several different economic terms
Tact the expected value concept and learn how to incorporate it within the decision tree analysis
Learn the concepts of expectancy theory and attitudes towards risk, risk aversion and risk premium
Spreadsheet and simulation software risk skills
Assess cash flow of a project with common economic indicators in the evaluation of competing alternatives
Make a thorough economic study about evaluation of projects with risk and sensitivity analysis with spreadsheets

Training Methodology

This Advanced Project Economics, Risk and Decision Analysis training course will incorporate a mix of learning methods, including but not limited to, high quality powerpoint slides, short videos and active class participation.
An in-depth knowledge of quantitative risk analysis techniques and hands-on problem solving skills will be developed during this training course. Attendees will use PC’s to solve a variety of problems, enabling them to utilize the taught material.
This Advanced Project Economics, Risk and Decision Analysis training course approach will be facilitated using Microsoft Excel add on risk module and will further assist in promoting discussions among the attendees.

Who should attend?

Planning Managers
Project Managers
Analysts
Commercial Managers
Economists
Government Officials
Geologists
Business Advisors
Asset Managers
E&P Managers
Product Managers
Project Management Professionals

How will attendees benefit?

The Project Economics, Risk & Decision Analysis Training Course offers several key benefits for professionals involved in project management and decision-making:

Improved Decision-Making Skills: Know how to evaluate project risks and make evidence-proven choices by using any of the other advanced forms in your decision-making process.
Improved Risk Management: It helps you to learn techniques or methodologies that you can utilize for the identification, assessment, and mitigation of risks to make your projects better optimised and lessen an avenue of problems that may have ended up becoming expensive.
Cost Optimisation: Complete understanding of life-cycle costing analysis and cost-benefit evaluation techniques for rendering more economically viable projects and resource-efficient.
Strategic Planning: Gain the ability to plan and handle large projects with an account of risk, cost, and reward amalgamation.
Increased Project Success Rates: All the above tools enable you to foresee risks to the project, adapt to changes quickly, and complete the projects on time and within budget.
Career Development: Mastering the high-demand skills in project economics and risk management will enhance your employability and opportunities for career advancement.

Course Outline

Introduction to Project Economics

Key principles of project economics
Financial models and cost estimation techniques
Life cycle cost analysis

Risk Analysis Fundamentals

Types of project risks (technical, financial, operational, etc.)
Risk identification and assessment
Risk prioritization techniques

Decision-Making Frameworks

Decision trees and probability analysis
Monte Carlo simulation and scenario analysis
Sensitivity analysis and what-if scenarios

Cost-Benefit and Financial Evaluation

Net present value (NPV) and internal rate of return (IRR)
Payback period and profitability index
Cash flow analysis and financial forecasting

Advanced Risk Mitigation Techniques

Developing risk response strategies
Implementing risk monitoring and control measures
Case studies on successful risk mitigation

Project Portfolio Management

Risk-adjusted return on investment (ROI)
Strategic decision-making in portfolio management
Balancing risk and reward in multi-project environments

Schedule & Fees

2026 Schedule & Fees

18 - 22 Oct, 2026

English

Per participant USD 2,900

18 - 22 Oct, 2026

Arabic

Per participant USD 2,900

20 - 24 Dec, 2026

English

Per participant USD 2,900

20 - 24 Dec, 2026

Arabic

Per participant USD 2,900

2027 Schedule & Fees

17 - 21 Jan, 2027

English

Per participant USD 2,900

17 - 21 Jan, 2027

Arabic

Per participant USD 2,900

21 - 25 Mar, 2027

English

Per participant USD 2,900

21 - 25 Mar, 2027

Arabic

Per participant USD 2,900

18 - 22 Apr, 2027

English

Per participant USD 2,900

18 - 22 Apr, 2027

Arabic

Per participant USD 2,900

20 - 24 Jun, 2027

English

Per participant USD 2,900

20 - 24 Jun, 2027

Arabic

Per participant USD 2,900

18 - 22 Jul, 2027

English

Per participant USD 2,900

18 - 22 Jul, 2027

Arabic

Per participant USD 2,900

19 - 23 Sep, 2027

English

Per participant USD 2,900

19 - 23 Sep, 2027

Arabic

Per participant USD 2,900

17 - 21 Oct, 2027

English

Per participant USD 2,900

17 - 21 Oct, 2027

Arabic

Per participant USD 2,900

19 - 23 Dec, 2027

English

Per participant USD 2,900

19 - 23 Dec, 2027

Arabic

Per participant USD 2,900