Contingencies

Contingencies are potential future events or conditions that may affect the outcome of a project, decision, or situation. They are uncertainties or risks that might occur, and planning for them involves preparing strategies or resources to manage their impact. For example, when building a house, a contingency might be budgeted for unexpected expenses like delays or additional costs. Essentially, contingencies are pre-planned allowances or considerations that help decision-makers address possible obstacles, ensuring smoother progress and better risk management.