A software development project finished initiation and the technical design was approved by the project steering committee. Later it was discovered the design will affect the company's production system and a new technical design is required, potentially delaying the project by three months. What should the project manager do first?

The project manager's first action should be to log the technical design delay as a risk in the project risk log. This is because the discovery of the design's impact on the production system introduces uncertainty regarding project objectives (scope, schedule, cost, quality). Identifying and documenting this as a risk is a fundamental step in risk management, allowing for proper analysis, response planning, and monitoring. Arranging a steering committee meeting immediately is premature without a clear understanding of the risk's impact and potential responses. Proceeding with the approved design is irresponsible, as it ignores a known issue that could severely impact the production system. Requesting approval for a new design is also premature; the project manager first needs to assess the full implications of the current design issue and develop potential solutions before presenting options to the steering committee.