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| Section | Objectives |
|---|---|
| Risk Analysis | - Qualitative Risk Analysis - Quantitative Risk Analysis |
| Risk Monitoring and Control | - Risk Audits and Reviews - Risk Reporting and Communication |
| Risk Strategy and Planning | - Stakeholder Engagement in Risk - Risk Management Planning |
| Risk Response Planning | - Opportunity Response Strategies - Threat Response Strategies |
| Risk Identification | - Overall Project Risk Identification - Identifying Individual Risks |
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NEW QUESTION # 325
What is the primary difference between a risk audit and a risk reassessment?
Answer: B
Explanation:
Risk reassessment is an ongoing activity by the project team. Risks should be discussed at every status meeting. Risk audits are performed during the project life cycle to examine and document the effectiveness of risk responses. They are conducted at appropriate frequencies as defined in the risk management plan. [Monitoring and Controlling] PMI®, PMBOK® Guide, 2013, 351
NEW QUESTION # 326
After completing the risk register, many team members feel there is a lack of time prioritization for one of the identified risks What are the team members referring to?
Answer: D
Explanation:
Risk urgency refers to the timeframe within which a risk might occur and necessitates prioritization based on how soon a response is required. When team members express concerns about a lack of time prioritization for an identified risk, they are highlighting the need to assess and address the risk ' s urgency. Evaluating risk urgency involves determining the proximity of the risk event and ensuring that timely actions are planned to mitigate or respond to the risk appropriately. Incorporating urgency assessments into the risk management process helps in allocating resources and attention to risks that require immediate action, thereby enhancing the project ' s resilience against potential threats.
PMI Risk Management Study Guide References:
The PMI-RMP Exam Preparation Study Guide discusses the concept of risk urgency, noting that " understanding the timing of potential risk events is crucial for effective prioritization and response planning. "
NEW QUESTION # 327
The team has just completed a risk response planning session and identified responses for all the high and medium priority risks. What should the team do with the remaining low priority risks?
Answer: B
NEW QUESTION # 328
Project stakeholders can often be risk averse with little to no knowledge of the risk process. How should a risk manager increase stakeholder risk appetite?
Answer: B
Explanation:
The risk manager should increase stakeholder risk appetite by explaining risk handling and mitigation strategies, which will help stakeholders understand how risks can be managed and reduced, making them more comfortable with the risk process.
The best way to increase stakeholder risk appetite is to explain risk handling and mitigation strategies, which are the actions taken to reduce the probability and/or impact of risks, or to enhance the opportunities. By doing so, the risk manager can help the stakeholders understand how the risks can be managed effectively and efficiently, and how the potential benefits can outweigh the potential costs. This can also increase the stakeholder confidence and trust in the risk process and the project outcomes. The other options are not appropriate ways to increase stakeholder risk appetite. Excluding risk averse stakeholders from future risk discussions can alienate them and create conflicts. Increasing the impact of all risks in the risk breakdown structure (RBS) can exaggerate the risk exposure and create unnecessary fear and anxiety. Developing a generous probabilistic cash flow model can create unrealistic expectations and lead to poor decision making.
References: PMI Risk Management Professional (PMI-RMP) Examination Content Outline and Specifications, page 81. A Guide to the Project Management Body of Knowledge (PMBOK® Guide) - Sixth Edition, pages 403-4042.
NEW QUESTION # 329
Which positive risk response best describes a teaming agreement?
Answer: D
NEW QUESTION # 330
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