The second in our AI for risk management–beginners series, this article will talk about leveraging ChatGPT for Risk Management in Medical Device companies in conjunction with traditional risk management tools.
Allow me to preface this by saying our focus with these articles is on making risk management slightly easier for project managers and medical device companies. That’s why we will only touch upon AI techniques that don’t require expert-level ChatGPT skills.
The best and simplest AI technique is to ask questions. In all of our experiments with GPT4, our first couple of questions got the most basic responses. If you’re just starting to use GPT4, your first couple of questions will never quite get you to where you want to go. The trick is to drill down to ask the right questions and keep asking until you know everything you want to know about a topic.
Pro tip: Treat ChatGPT as an intern or a junior you’re training.
Case in point, one of our team members spent more than an hour with ChatGPT to understand how to use it to create an automated risk register. She hasn’t tested it out yet, so it’s all theory at this point. But it’s good to know GPT can teach you how to use GPT. You just need to ask it the right questions.
Keeping this in mind, let’s talk about leveraging ChatGPT for Risk Management in Medical Device companies.
Since we covered how AI can be used for risk identification in our previous article, we will be focusing on other aspects of risk management here–risk assessment, risk mitigation, and risk monitoring.
Let’s start with using ChatGPT for Risk Assessment.
Once risks are identified, the next step is to analyze each risk in terms of its potential impact and likelihood of occurrence.
How ChatGPT Can Assist
ChatGPT can help project managers analyze identified risks by providing insights into their potential impact and likelihood based on historical data, industry standards, or best practices. Project managers can ask ChatGPT to:
- identify patterns, trends, and common risk factors based on the data fed to it
- provide insights into the types of risks that have occurred in similar projects
- gather relevant information like industry standards and best practices for their device
- provide recommendations and insights on risk assessment methodologies, risk prioritization techniques, and effective risk mitigation strategies
- apply predefined risk scoring models or methodologies to calculate risk scores for identified risks
- suggest resource allocation to address the most critical risks first.
- generate automated risk reports summarizing the results of risk scoring, including risk scores, descriptions, severity levels, and recommended actions.
For example, a project manager can ask ChatGPT to apply a predefined risk scoring model like the 5 x 5 Risk Assessment Matrix to calculate risk scores for identified risks.
- Project managers can provide ChatGPT with details of the scoring model, including weightings assigned to different risk attributes and thresholds for risk levels (e.g., low, medium, high).
- On being prompted, ChatGPT can then apply the scoring model to assess each risk and assign a numerical score based on its severity, likelihood, and other relevant factors.
- ChatGPT can sort identified risks based on their scores, highlighting high-risk areas that require immediate attention and resource allocation.
- Project managers can interact with ChatGPT to review and refine risk prioritization based on their expertise and judgment.
As you can see, you will have to train ChatGPT on everything for it to be effective. If you don’t want to train ChatGPT, you can still use it for admin work like creating reports, researching, and analyzing data. Whatever you use it for, you have to do the work and define clearly what you need GPT to do and how. You also have to be the one to review its output thoroughly to ensure it is error-free and covers all the bases.
This holds true for all the other steps when leveraging ChatGPT for Risk Management in Medical Device Companies
ChatGPT for Risk Mitigation
Once risks are assessed, project managers need to develop and implement risk mitigation strategies to reduce the likelihood or impact of identified risks.
Project managers can ask ChatGPT to:
- provide recommendations and best practices for risk mitigation based on historical data, industry standards, and project-specific constraints.
- conduct scenario analysis to evaluate the potential effectiveness of different risk mitigation strategies and their impact on project objectives.
- generate action plans for implementing risk mitigation strategies, including assigning responsibilities, setting deadlines, and tracking progress.
- brainstorm alternative mitigation strategies, evaluate their feasibility, and refine plans based on ChatGPT’s suggestions
ChatGPT for Risk Monitoring
Proper risk management requires continuous monitoring and review of identified risks throughout the project lifecycle. This involves tracking the status of risks, reassessing their impact and likelihood, and updating risk management plans as needed. Now, this is the point where it gets theoretical for us again.
Project managers can ask ChatGPT to:
- monitor project-related data and communication channels for changes in risk status or new risk indicators, providing project managers real-time updates and alerts
- generate automated risk management dashboards and reports
- summarize key risk metrics, trends, and insights for stakeholders.
Pro tip: ChatGPT can integrate with existing project management tools and platforms to streamline the risk management process and ensure seamless collaboration among team members.
Of course, for any of these to work, ChatGPT has to have access to historical project data, be trained on predefined risk criteria, and be fed current project data. All of this leads to some serious data security questions, which we have covered in this article.
All said and done, you still need a qualified project management consultant for effective risk management with or without using AI. And we know exactly where you can find one.
Waddell Group has a roster of pre-vetted project management consultants who:
- have a track record of at least five successful projects under their belt
- a minimum of ten years of project management experience
- are regarded as accomplished in their field.
- know how to get things done so your project is on time and budget
We’d be happy to schedule a free consultation call with you to help you find the perfect fit for your project.