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Regulatory Environment - Overview | PMQ D2.2a

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Regulatory Environment - Overview | PMQ D2.2a


In this video, we talk about the legal and regulatory influences that can affect every project.


- "The project professional is responsible for understanding the regulatory environment. In law, ignorance is never a defense." This is taken from the APM box seven, and so in this video, we'll talk about some of the legal and regulatory influences that impact every project. Obviously all projects must operate within the law, so as a project manager, you need to make sure you understand at least the fundamentals of the jurisdictions you're working in. You can think of the regulatory and legal restrictions you're working within in terms of a hierarchy represented by this pyramid. At the very top, there are laws which are enforceable requirements set out by governments. Next that are acts, which tend to make laws more specific and taking the general principles of the law making them more applicable. Below this, there are directives, which are specific legal requirements created by large economic or political bodies. Next we've got regulations, which are detailed guidelines on the specifics of an act. The penultimate level is taken up by international standards, which are used as guides for an organization operating in a specific country. Finally, there's organizational governance. This is how an organization responds to the rest of the pyramid, setting out specific rules and standards for its employees to follow. Straightforward enough, but how does all of this impact you as a project manager? Well, in general, there are a few main areas you need to think about. So let's go through each of these in a bit of detail. First up, health and safety legislation. The health and safety of all project team members and anyone who might be impacted by a project is a basic right. As a project manager, you need to identify and control risks. To do this you need to have knowledge of the relevant legislation and organizational policies that govern health and safety. Your organization should have guidelines you can follow as part of its organizational governance. So make sure you understand what the implications of it are, and what you need to do to ensure everyone's health and safety. Environmental legislation is another important area you need to know about. You have a legal duty to think about any environmental impact of your project. Environmental constraints on your projects may also mean that you need to carry out more risk assessments and be even more vigilant when it comes to waste management and disposal. Last up, let's talk about data protection and employment legislation. Data protection is incredibly important, with potential fines for mishandled data being potentially devastating for organizations. With this in mind, you need to make sure you are using data correctly and protecting it properly. There are also quite few employment considerations that you need to take into account, from recruitment and discrimination to employment contracts and working time and conditions. You need to make sure that you understand everything the law expects of you to support your employee's rights. And that's it for this video, the regulatory environment is complex and it's different for every sector. Making sure you understand any legislation and regulations that impact your project is another important part of completing them successful.