A project manager is overseeing the development of a new financial software application. Midway through the project, the company announces a merger with another firm, which will introduce new regulatory compliance standards and a different set of stakeholders. To proactively manage this change, what is the project manager's most appropriate initial action?
Conduct an impact analysis to determine how the merger will affect the project's scope, stakeholders, and requirements.
Pause all project activities until the merger is fully completed and the new organizational structure is stable.
Immediately request additional funding to accommodate any potential changes from the merger.
Transfer leadership of the compliance-related tasks to the incoming team from the merged company.
When faced with significant organizational change, such as a merger, the project manager's first responsibility is to understand its effects on the project. Conducting an impact analysis is the most appropriate initial action. This analysis will identify how the changes to compliance, stakeholders, and other project constraints will affect the project's scope, schedule, budget, and objectives. The results of this analysis will then inform subsequent actions, such as requesting additional funds, adjusting timelines, or modifying the project plan to ensure continued alignment with the new organizational goals.
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