Question: The On-Safari project involves the re-development of an existing website. The park is concerned that the overall project should complete on time, so they have

The On-Safari project involves the re-development of an existing website. The park is concerned that the overall project should complete on time, so they have imposed a £50,000 penalty clause for late delivery of the On-Safari project. Pemberley Solutions, the consultancy who have been employed to develop On-Safari, estimate that the likelihood of the website re-development overrunning as 10%. They can reduce the likelihood of this occurring to 2.5% by employing a freelance web developer to work on the more technically demanding parts of the website redevelopment, at a total cost of £10,000. Calculate the risk reduction leverage for the risk reduction action of employing the freelance web developer to work on the website redevelopment for the On-Safari project.

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