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7 Risk The deliverables and work scope identified by WBS are used as the basis for predetermining the possible locations and types of risks that may occur, as well as the extent of the losses and the degree of impact that those risks may entail. The predetermined risks should be ranked – starting with the highest rate of occurrence and the largest loss impact – to determine which risks should be prioritized and dealt with. In addition, it is integral to the process that sufficient countermeasures are prepared in advance for the predetermined risks. If a risk actually arises, it is dealt with according to the course of action that has been devised based on the risk analysis and countermeasures. It is also necessary to be prepared to deal with legal issues due to the possibility of various contractual risks that could arise. 8 Procurement Necessary technologies and services are procured from an external source in order to execute a project. The deliverables and work scope identified by WBS are used as the basis for examining the technologies and services that need to be externally procured, followed by the selection of candidate suppliers. This process is referred to as “solicitation.” Suppliers are typically chosen through bidding or quotation, or they are directly designated. The workflow from processing orders and contracts to receiving inspection is managed in a comprehensive manner. 9 Integration All of the work areas are comprehensively managed to achieve unity in the entire project. Overall policies and plans for the project are formulated, and any changes that occur during the execution of the project are addressed. In some cases, new or more efficient technologies are developed during the course of a long-term project, requiring the ability to flexibly adapt when necessary. Accordingly, any new developments such as major schedule delays, delivery date extensions, and cost increases should be thoroughly discussed. In short, the overall project should be managed in a manner that ultimately yields the desired deliverables. 137