Any business in any field has already faced risk at least once. Risk management will vary based on the situation created by the Business. For example, a new technology such as hand gestures would be developed for a smartphone company, and the calendar indicates six months for this activity, but technical employees believe that nine months is closer to the truth. If the project manager is proactive, the project team will develop a contingency plan right away. They will develop solutions to the time problem before the project deadline. However, if the project manager is reactive, the team will not do anything until the problem actually occurs. The project will be approaching its six-month deadline, many tasks will still be incomplete, and the project manager will react quickly to the crisis, wasting precious time for the team. Proper risk management will reduce not only the probability of an event occurring, but also the extent of its impact.