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| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Risk Identification | 23% | - Identify internal and external risks - Update risk register - Apply identification techniques - Capture opportunities as well as threats - Document risks and characteristics |
| Topic 2: Risk Response Planning | 13% | - Assign owners and responsibilities - Develop response strategies for threats and opportunities - Select appropriate response actions - Integrate responses into project plan |
| Topic 3: Risk Monitoring and Reporting | 19% | - Communicate risk status to stakeholders - Identify new and emerging risks - Monitor identified risks and triggers - Track effectiveness of responses - Update risk register and documents - Capture lessons learned |
| Topic 4: Risk Strategy and Planning | 22% | - Define risk appetite, threshold, and tolerance - Align risk management with organizational and project objectives - Develop risk management strategy - Create risk management plan - Integrate risk management into project lifecycle |
| Topic 5: Risk Analysis | 23% | - Perform quantitative risk analysis - Perform qualitative risk analysis - Prioritize risks - Assess probability and impact - Use simulation and modeling techniques |
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NEW QUESTION # 233
Don has hired Jerry, a contractor, to complete a portion of his project work. The contract used was a cost-plus contract. If Don were to perform a risk audit, who would carry the risk in this scenario?
Answer: C
NEW QUESTION # 234
A project manager is leading a complex, high-risk construction project in the city center. To address risk based on lessons learned from similar past building projects, the risk manager assigns a team member to assess and confirm risk thresholds for the project.
What should the risk manager do?
Answer: C
Explanation:
The correct answer is B. Work with stakeholders to achieve consensus on risk thresholds.
Risk thresholds represent the specific levels of risk exposure or variation that stakeholders are willing to accept. Because thresholds are closely tied to stakeholder risk appetite, tolerance, project objectives, business priorities, and governance expectations, they should not be set by the project team alone. The risk manager should therefore work collaboratively with stakeholders to confirm and agree on those thresholds .
The question states that the team member is assessing and confirming thresholds using lessons learned from similar projects. Historical information is useful input, but thresholds for the current project must still be validated with the relevant stakeholders. In a complex, high-risk city-center construction project, many stakeholder interests may influence acceptable risk levels, including cost, schedule, safety, regulatory exposure, public disruption, and contractual obligations. For that reason, stakeholder consensus is the most appropriate action.
Why the other options are incorrect:
* A. Develop risk assessment processes and tools to quantify risk thresholds Processes and tools may support analysis, but they do not themselves establish agreed thresholds. Thresholds must reflect stakeholder acceptance levels, not just analytical design.
* C. Use subject matter experts and historical data to estimate risk thresholds This is useful supporting input, especially from past projects, but the question asks what the risk manager should do to assess and confirm the thresholds. Estimates from experts and history are not sufficient without stakeholder agreement.
* D. Review regulatory requirements and the contract to identify risk thresholds Regulatory and contractual limits are important constraints, but they do not fully define project risk thresholds.
Stakeholder tolerance may be narrower than legal or contractual boundaries.
Best-practice reasoning:
Risk thresholds should be established and validated during risk planning in consultation with key stakeholders because thresholds guide evaluation, prioritization, escalation, and response decisions. Without stakeholder agreement, the project may misjudge which risks are acceptable and which require action.
Reference-aligned basis:
This answer is consistent with standard risk management guidance that emphasizes:
* risk thresholds are linked to stakeholder risk appetite and tolerance,
* thresholds are established during planning,
* stakeholder engagement is necessary to define and confirm acceptable levels of risk exposure.
References:
PMI, A Guide to the Project Management Body of Knowledge (PMBOK Guide) , Plan Risk Management PMI, Practice Standard for Project Risk Management ISO 31000, risk criteria and stakeholder consultation principles
NEW QUESTION # 235
A project's design has been completed and approved on time. The construction subcontractor should be mobilizing to start construction but does not have the necessary materials in place, causing a delaying in the project. The risk register only contains risks for the design phase of the project.
What should the project manager have done differently?
Answer: B
Explanation:
The project manager should have performed risk identification exercises for the full lifecycle of the project, including the construction phase, to ensure that all potential risks were identified and addressed in the risk register.
Risk identification is the process of determining the risks that may affect the project and documenting their characteristics. Risk identification should be performed throughout the project lifecycle, as new risks may emerge or change over time. Risk identification should also consider all aspects of the project, such as scope, schedule, cost, quality, resources, stakeholders, and procurement. By performing risk identification exercises for the full lifecycle of the project, the project manager could have identified and planned for the potential risks associated with the construction phase, such as delays, material shortages, quality issues, or safety hazards. This would have helped to prevent or mitigate the impact of the risk event that occurred, and to ensure that the risk register is updated and comprehensive. Performing a Monte Carlo sensitivity analysis, adding generic construction risks, or reviewing the assumptions/exclusions register are not sufficient or effective ways of identifying the specific risks that may affect the project during the construction phase. These are either tools for risk analysis, risk response planning, or project initiation, but not risk identification. Reference: PMI-RMP Certification Handbook1, page 9; PMBOKGuide, pages 397-398.
NEW QUESTION # 236
You are the project manager for a construction project. The project involves casting of a column in a very narrow space. Because of lack of space, casting it is highly dangerous. High technical skill will be required for casting that column. You decide to hire a local expert team for casting that column. Which of the following types of risk response are you following?
Answer: A
NEW QUESTION # 237
A core project team is working on unrelated tasks in advance to reduce the risk of delay due to an external team not completing its tasks on time. The core project team has completed all possible unrelated tasks but cannot move forward, because the external team's tasks have yet to be completed.
What should the risk manager do next?
Answer: C
Explanation:
According to the PMBOK Guide, the risk response plan is the set of actions that the project team will take to address the identified risks. The risk response plan should be reviewed and updated periodically throughout the project lifecycle, as new risks may emerge or existing risks may change. The risk owners are the persons assigned the responsibility of monitoring the risks and implementing the risk response actions. The risk owners should work with the risk manager and other stakeholders to evaluate the effectiveness of the risk response plan and make any necessary adjustments. In this case, the risk manager should ask the risk owners to review the risk response plan and see if there are any alternative or additional actions that can be taken to deal with the delay caused by the external team. Starting a quantitative analysis, crashing the schedule, or transferring the risk are not appropriate actions for this situation, as they are either too late, too costly, or too risky. References: = PMBOK Guide, 6th edition, pages 452-453; The Standard for Risk Management in Portfolios, Programs, and Projects, page 79.
NEW QUESTION # 238
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