1. Fill in the blank: A(n) _____ is a known and real problem that can affect a team’s ability to complete a task.
Answers
· threat
· drawback
· issue
· risk
Explanation: A snag is a known and actual difficulty that has the potential to hinder an organization's capacity to finish a job.
2. Failing to engage in risk management for your project can have which two of the following consequences?
Answers
· You will not be able to meet project timelines and goals
· You will not be able to establish necessary vendor relationships
· You will not be able to make necessary adjustments to the project plan
· You will not be able to use the appropriate tools
Explanation: If you do not participate in risk management for your project, you run the danger of two important consequences: the first is an increased possibility that the project will fail, and the second is substantial financial losses.
3. When working through the risk management life cycle, what’s the main goal when evaluating a risk?
Answers
· Controlling risks
· Identifying risks
· Treating risks
· Prioritizing risks
Explanation: When doing an assessment of a risk as part of the life cycle of risk management, the primary objective is to evaluate the possible effect and probability of the risk. This assessment contributes to the prioritization of risks based on the magnitude of those risks and enables the creation of effective strategies to reduce or manage those risks.
4. Identify the steps involved in creating and utilizing a fishbone (or cause-and-effect) diagram.
Answers
· Define the problem, identify risks, mitigate causes, and analyze the causes
· Define the problem, identify categories, mitigate causes, and monitor feedback
· Define the problem, identify risks, brainstorm causes, and monitor feedback
· Define the problem, identify categories, brainstorm causes, and analyze the causes
5. Choose the best definition for inherent risk as it relates to project management.
Answers
· The measure of a risk, calculated by its difficulty and frequency
· The measure of a risk, calculated by its timing and dependencies
· The measure of a risk, calculated by its probability and impact
· The measure of a risk, calculated by its causes and circumstances
Explanation: When discussing risk management for projects, the term "intrinsic risk" refers to the degree of risk that is present in a project even if there are no risk-mitigation procedures or risk response plans in place. It is a representation of the possible consequences and probability of hazards prior to the implementation of any risk management measures. In essence, it depicts the inherent or natural obstacles and uncertainties that are connected to the project, under the assumption that no proactive risk management procedures have been done.
6. Which of the following are examples of external risk? Select all that apply.
Answers
· A breakdown in communication among team members
· A deliverable takes longer than anticipated to complete
· A change in regulatory requirements
· A project vendor goes out of business
7. Imagine that your company is considering using a vendor. The vendor makes quality products, but you have learned they have a reputation for shipping delays. Ultimately, you decide to use a different vendor. Which risk mitigation strategy did you use?
Answers
· Accept the risk
· Control the risk
· Avoid the risk
· Reduce the risk
Explanation: "Vendor Selection" is the risk mitigation approach that is used in this particular case. You are actively limiting the risk associated with possible delivery delays if you choose a different vendor who has a more reliable track record for on-time shipping. This may be done by selecting a new vendor who has a more dependable track record.
8. Which of the following is the best way to communicate a high-level risk to stakeholders?
Answers
· Meet with stakeholders in person to present serious risks and your plans to mitigate them.
· Plan to present the risks and your mitigation plans at the next monthly meeting.
· Describe the risks in a weekly planning email and briefly explain your plan to mitigate them.
· Describe the risks and your mitigation plan to stakeholders the next time you see them in person.
9. As a project manager, you’re identifying task dependencies. Task B cannot finish until Task A is complete—the tasks operate at the same time. Which type of dependency does this situation represent?
Answers
· Finish to Finish (FF)
· Start to Finish (SF)
· Finish to Start (FS)
· Start to Start (SS)
Explanation: This kind of reliance is referred to as a "Finish-to-Start" dependency in the language of project management. Before beginning work on Task B, the first step, Task A must first be finished. It's kind of like a relay race, only the next runner (Task B) can only begin their leg of the race after the one they're following (Task A) has completed theirs.
10. Which steps should be taken when updating a risk management plan? Select all that apply.
Answers
· Add newly-identified risks.
· Remove risks that are no longer relevant.
· Move the plan to a confidential folder.
· Include any changes in the mitigation plans.
Shuffle Q/A 1
11. A project manager has a responsibility to identify and plan for potential problems and known issues. What is this process of identifying and planning called?
Answers
· Risk identification
· Risk mitigation
· Risk management
· Risk analysis
Explanation: In project management, the process of detecting and preparing for prospective difficulties and known concerns is referred to as "Risk Management." The process of detecting, assessing, and making preparations for any risks that may have an effect on the outcome of a project is what is known as risk management. It entails evaluating the possibility and effect of risks, coming up with tactics to reduce or manage them, and building backup plans in case anything unexpected happens. The objective is to maximize the chance of the project being successful while also proactively addressing any uncertainties that may arise.
12. Risk management can help you avoid negative consequences like missing project timelines and goals. Which of the following is a benefit of effective risk management?
Answers
· You will be able to use this project’s risk management plan again in different projects.
· You will be able to establish necessary vendor relationships.
· You will be able to make a flexible project plan that allows for necessary adjustments.
· You will have access to the appropriate tools for the project.
Explanation: A primary advantage of efficient risk management is that it lessens the amount of damage done to the project's goals and objectives. A project manager may lower the chance of undesirable outcomes such as missing project deadlines and objectives by detecting possible risks and proactively resolving those risks. This can also lessen the effect of such consequences. This makes it possible to exert more control over the course that the project will take and raises the likelihood of reaching desirable results.
13. As a project manager you are practicing risk management. You have already defined potential risks, determined their likelihood, and prioritized them. Now, you’re making a plan to address and manage each risk. This represents which risk management step?
Answers
· Monitor and control risks
· Identify risks
· Treat risks
· Analyze risks
Explanation: The phase of the risk management process that you are describing, which is known as Risk Response Planning, is the one in which you build a strategy to handle and manage each risk that has been identified. After identifying possible risks, evaluating the chance that they will occur, and ranking them in order of importance, the next stage is to develop a strategy that defines the ways in which each risk will be mitigated. This comprises the identification of particular tactics to avoid, transfer, accept, or minimize the risks, as well as the creation of contingency plans for situations that cannot be predicted. The aim is to have a method to managing the risks that have been identified across the whole lifespan of the project that has been properly thought out.
14. Which of the following tools can project managers use to brainstorm the potential causes of risks?
Answers
· Risk register
· Project charter
· Fishbone diagram
· Stakeholder map
Explanation: The "Fishbone Diagram," also known as an Ishikawa or Cause-and-Effect diagram, is an excellent tool that project managers may use for brainstorming probable sources of hazards. This design is also known as the "Fishbone Diagram." By graphically categorizing information into categories, this tool assists teams in doing exploratory research and determining the possible root causes of a given issue or danger.
15. A project manager identifies a series of tasks in an upcoming project that can only be started when the previous task has been completed. What term defines the relationship between these tasks?
Answers
· Dependency
· Opposed
· Stacked
· Connected
Explanation: The link between two jobs in which one must be finished before the other can begin is often referred to as a "dependency." To be more specific, this kind of reliance is referred to as a "Finish-to-Start" dependency in the language of project management terminology. This indicates that doing the work that came before it is necessary before moving on to the one that will come after it.
16. A project manager has just learned that a supplier has a history of missing deadlines. The supplier is defensive when asked about this. The project manager decides to find a new vendor. What kind of risk mitigation strategy is this?
Answers
· Accepting risk
· Transferring risk
· Avoiding risk
· Controlling risk
Explanation: Within the context of this scenario, the project manager is putting into action a risk management method that goes by the name "Risk Avoidance." Taking precautions so as to eradicate or get around a potential hazard is an example of risk avoidance. In this particular instance, the project manager has made the decision to seek out a new supplier in order to mitigate the risk that is connected to the existing supplier's track record of missing deadlines.
The goal of the project manager is to reduce the possible adverse effects of any delays brought on by the history of the prior provider by replacing them with a new vendor who has a track record that is more trustworthy. This method of managing risks is known as the proactive approach, and its primary objective is to eliminate the possibility of the risk having a negative impact on the project rather than focusing on mitigating its effects.
17. A project manager communicates a newly discovered risk to a stakeholder. They include the risk in a weekly planning email with potential ways to address the risk if needed. What level of risk are they likely writing about?
Answers
· High-level risk
· Medium-level risk
· Single point of failure
· Low-level risk
Explanation: It's probable that the project manager is writing about something called a "Known Risk." hazards that have been discovered and recorded as part of the risk management process are referred to as known hazards. In this particular instance, the project manager has informed a stakeholder about the newly identified risk and is taking preventative action to address it by attaching a list of possible solutions to the risk in an email that is used for weekly planning.
The project manager demonstrates a proactive attitude to risk management by conveying the risk and providing viable techniques for mitigating the risk. This ensures that stakeholders are kept up to date and gives the project team the ability to make preparations in the event that the risk in question really occurs.
18. A project manager has identified a number of tasks in an upcoming project with dependencies. Most of the dependencies are finish to finish. What situation is this dependency describing?
Answers
· Task 2 cannot start until Task 1 has started
· Task 2 cannot finish until Task 1 has finished
· Task 2 cannot finish until Task 1 has started
· Task 2 cannot start until Task 1 has finished
Explanation: "Finish-to-Finish" (FF) dependencies refer to a scenario that occurs in the context of project management and suggest that the completion of one work is reliant on the completion of another activity. In other words, completion of both jobs must occur simultaneously or within a period of time that is closely connected. If the majority of the discovered dependencies within the project include finish-to-finish linkages, this indicates that the execution of activities is interdependent, and either they need to be completed simultaneously or in close collaboration with each other. When two activities are connected in such a manner that the timing of their completion is dependent on one another, or when there is a common resource or restriction, this kind of dependence is often used.
19. A project manager writes a risk management plan. Currently they are working on an introduction to the conditions of the project and an outline of the potential risks. What is the name of this section in the risk management plan?
Answers
· Executive summary
· Header
· Appendix
· Risk register
Explanation: It is common practice to refer to as the "Risk Identification" or "Risk Assessment" part of the risk management plan that portion of the plan that normally contains an introduction to the circumstances of the project as well as an explanation of possible hazards. The project manager will explain the context of the project in this section of the plan. This will include the project's goals and scope, as well as any pertinent background information. After that, the possible dangers are singled out and analyzed in terms of the possibility of them occurring and the damage they may do to the project. This part lays the groundwork for the remainder of the risk management process, including the development of strategies for risk response and monitoring that occurs continuously.
20. A project manager needs to identify and plan for known problems that can affect project completion. What are these known problems called in project management?
Answers
· Potentials
· Impactors
· Risks
· Issues
Explanation: In the field of project management, issues that are already known to exist and that have the potential to impede completion of the project are referred to as "risks." The possible occurrence of certain events or situations that, if they do take place, might have a detrimental effect on the goals of the project is referred to as a risk. The process of recognizing these dangers and making preparations for them is referred to as risk management. The project manager is responsible for working to identify possible risks, evaluating both the chance of those risks occurring and the effect they will have, and developing plans to either minimize those risks or react to them. Through the use of this proactive strategy, the project team is better able to plan for potential difficulties that may develop over the course of the project.
21. As a project manager practicing risk management, you find and define potential project risks. Which risk management step does this represent?
Answers
· Identify risks
· Monitor and control risks
· Avoid risks
· Treat risks
Explanation: The phase of risk management known as "Risk Identification" or "Risk Assessment" refers to the process of locating and characterizing possible hazards that might affect a project. During this stage of the project, the project manager and the rest of the team will work together to methodically identify and record any possible risks that may have an effect on the project. This requires taking into consideration a variety of components of the project, such as its scope, timetable, resources, and external influences, in order to locate situations or circumstances that may provide either a risk or an opportunity.
After the risks have been discovered, they are often recorded in a risk register or another document along with essential information such the nature of the risk, its possible effect, the chance of it occurring, and any other facts that may be relevant. This sets the framework for the succeeding phases in the process of risk management, such as risk analysis, response planning, and monitoring. Specifically, this lays the groundwork for the monitoring step.
22. A project manager has just identified a risk that has the potential to be catastrophic and halt work across a project. What is this type of risk known as?
Answers
· External risk
· Single point of failure
· Complete halting point
· Time risk
Explanation: It is common practice to refer to a risk as "Critical" or "High-Impact" if it has the potential to be catastrophic and bring a complete stop to development on an entire project. In risk management, risks are often evaluated based on the potential effect they may have as well as the possibility that they will occur. A risk is considered catastrophic if, should it materialize, it would bring about very negative outcomes for the project, such as the possibility of its collapse or considerable interruption. The most significant risks are often given a heightened level of focus by project managers, who also devise comprehensive risk-mitigation strategies and backup plans just in case.
Shuffle Q/A 2
23. A project manager has just learned that a supplier is currently running low on required materials for a project. The supplier is very confident that the materials will be restocked before they are needed for the project. The project manager decides to continue with the vendor rather than finding a new one. What kind of risk mitigation strategy is this?
Answers
· Accepting risk
· Controlling risk
· Avoiding risk
· Transferring risk
Explanation: The risk management method known as "Acceptance" or "Acceptance with Contingency" is shown in the choice made by the project manager to continue working with the existing supplier despite the limited supply of supplies. This decision was made on the basis of the supplier's confidence in replenishing before the items were required.
In this particular instance, the project management has decided to take the risk, despite the fact that there is a possibility of a shortage of supplies. The manager is placing their faith in the guarantee provided by the supplier that the problem would be fixed before it has an impact on the project. It is a strategic choice to continue working with the existing supplier while also ensuring that alternative plans are ready to be put into action in the event that the supplies are not supplied on time.
24. Which of the following is a recommended method to communicate a medium-level risk to stakeholders?
Answers
· Call an urgent in-person meeting with stakeholders to present the risk and your plan to mitigate it.
· Present the risk and your mitigation plan during the team meeting next month.
· In the weekly planning email, briefly describe the risk and your plan to mitigate it.
· Send stakeholders a direct email that outlines the risk and includes a detailed explanation of your mitigation plan.
25. A project manager has identified a number of tasks in an upcoming project with dependencies. Most of the dependencies are start to finish. What situation is this dependency describing?
Answers
· Task 2 cannot start until Task 1 has finished risks
· Task 2 cannot start until Task 1 has started
· Task 2 cannot finish until Task 1 has started
· Task 2 cannot finish until Task 1 has finished
Explanation: "Start-to-Finish" (SF) dependencies are referred to in the context of project management and imply that the beginning of one job is reliant on the conclusion of another work. It signifies that the job that comes before it must be completed before the one that comes after it can begin. This form of dependence is utilized in circumstances in which the beginning of one job is dependent on the conclusion of another task. "Finish-to-Start" (FS) dependencies are more prevalent than "Start-to-Finish" (ST) dependencies.
If the majority of the detected dependencies within the project include start-to-finish connections, this indicates that the beginning of tasks is dependent upon the conclusion of the activities that came before them. Start-to-finish relationships are a kind of start-to-finish relationship. In situations in which there is a need for synchronization between the activities or when there are limits on the beginning of one activity dependent on the completion of another, it is common practice to make use of this kind of dependence.
26. The risk management process can provide project managers a better understanding of what information? Select all that apply.
Answers
· When exactly the risk will occur
· Who the project manager needs to consult about a risk
· How could the project manager mitigate the potential risk
· What could go wrong with the project
27. As a project manager practicing risk management, you’ve already identified the risk. Now, you’re determining the likelihood and potential impact the risk will have on your project. Which risk management step does this represent?
Answers
· Avoid risks
· Analyze risks
· Monitor and control risks
· Treat risks
28. A project manager attempts to determine the root cause of a problem that has already occurred. Which tool below can help them?
Answers
· Fishbone diagram
· Stakeholder map
· Risk register
· Project charter
Explanation: In most cases, the phase of the risk management process known as "Risk Analysis" or "Risk Assessment" is the one in which the step of assessing the possibility and possible effect of risks that have been discovered takes place. Following the identification of risks, the project manager will conduct an analysis of each risk in order to determine the chance of its occurrence as well as the possible effect it might have on the project's goals.
This analysis helps to prioritize risks, concentrating emphasis on those that are the most important or vital to the project. After determining the chance of an event occurring and its potential effect, project managers are able to go on to the subsequent stages of the risk management process. These stages include the creation of reaction strategies, the execution of risk mitigation plans, and the ongoing monitoring and control of risks throughout the lifespan of the project.
29. What is scope creep in project management?
Answers
· The unexpected risks that can come together and form into a single issue that affect the scope of a project near completion
· The changes, growth, and uncontrolled factors that affect the project’s scope at any point after the project begins
· The additional time a project takes to complete due to unforeseen setbacks
· The amount of time that a project will take to complete as setbacks begin to arise
Explanation: The unplanned or unapproved extension of a project's scope is referred to as "scope creep" in the field of project management. It happens when extra features, tasks, or requirements are added into the project without adequate permission, and typically without an associated change in the project's timeframe, budget, or resources. It is also known as scope creep.
30. Which of the following risk types most commonly impact projects? Select all that apply.
Answers
· Inherent risks
· Budget risks
· Time risks
· Scope risks
31. A project manager is concerned about the workload an internal team is taking on for an upcoming project. The project manager decides to shift this workload to an external supplier. What kind of risk mitigation strategy is this?
Answers
· Transferring risk
· Accepting risk
· Avoiding risk
· Controlling risk
Explanation: The choice made by the project manager to move burden away from an internal team and onto an external supplier is an example of a risk reduction approach that is known as "Risk Transfer" or "Risk Sharing." By using this tactic, the project manager will shift the responsibility for the workload as well as the risks that are connected to it onto an external entity, which will be the supplier in this scenario.
By using these measures, the project manager seeks to lessen the effect that any prospective hazards may have on the internal team. These risks may include a lack of resources or skills, for example. It is essential to highlight, however, that despite the fact that this technique may assist in mitigating some risks, it also brings about the introduction of additional concerns. Some examples of these include the need to manage the connection with the external supplier and ensure that they are able to fulfill the needs of the project.
32. Should a risk management plan be updated regularly?
Answers
· Yes; the plan is a living document and should include new findings
· Maybe; if the stakeholders specifically request the updates
· No; the plan should be determined as early as possible
33. A project manager needs to identify and plan for potential events that can impact the project. What are these potential events called in project management?
Answers
· Risks
· Delays
· Problems
· Issues
Explanation: "Risks" are a term used in project management to refer to possible occurrences that might have an effect on the project. The term "risk" refers to an element of uncertainty that, should it materialize, may have either a positive or negative impact on the goals of the project, which may include its scope, timeline, budget, or quality. The process of recognizing, evaluating, and preparing for the occurrence of probable events is known as risk management. The goal of risk management is to reduce the negative effects of these occurrences while maximizing the potential benefits of any chances that may present themselves. The objective is to maximize the chance of the project being successful while also proactively managing any risks that may arise.
34. A project manager completes a fishbone diagram. They completed three steps: define the problem, identify categories, and brainstorm causes. What is the next step they should take to complete the fishbone diagram?
Answers
· Mitigate the causes
· Analyze the causes
· Identify risks
· Monitor feedback
Explanation: After determining the nature of the issue at hand, determining its categorization, and coming up with potential reasons for it, the next stage in producing a fishbone diagram is to compile and evaluate the causes that have been found. This step entails organizing the causes inside the categories on the fishbone diagram, which results in the creation of a graphical depiction of the connections between the various components that are contributing to the issue.
A fishbone diagram, often called an Ishikawa diagram or a Cause-and-Effect diagram, generally has a form in which the main "spine" reflects the issue at hand, and the branches indicate several classes of possible causes. The reasons that were found during the session of brainstorming are put on the branches that are most suited for them.
The diagram may be used to graphically identify patterns, linkages, and probable underlying causes of the problem. Organizing and evaluating the reasons on the diagram is an organized manner to comprehend and handle the problems that are at hand.
Shuffle Q/A 3
35. What does a risk management plan typically contain? Select all that apply.
Answers
· Probability estimates for each risk
· A mitigation plan for each risk
· An executive summary
· A competitor analysis for each risk
36. Why should project managers communicate risks clearly to stakeholders? Select all that apply.
Answers
· To increase trust in the relationship
· To get them to provide additional teammates, if necessary
· To convince them to provide an increase in budget, if necessary
· To deflect blame on project issues, if necessary
37. Fill in the blank: The process of identifying and evaluating potential risks and issues that could impact a project is known as _____.
Answers
· risk management
· risk analysis
· risk mitigation
· risk identification
38. Which of the following are steps involved in creating and utilizing a fishbone (or cause-and-effect) diagram? Select all that apply.
Answers
· Mitigate causes
· Define the problem
· Identify categories
· Analyze the causes
39. What two factors combine to determine inherent risk?
Answers
· Damage and mitigation
· Damage and impact
· Probability and mitigation
· Probability and impact
40. As a project manager, you’re identifying task dependencies. Task B cannot finish until Task A has started. Which type of dependency does this situation represent?
Answers
· Finish to Start (FS)
· Start to Start (SS)
· Finish to Finish (FF)
· Start to Finish (SF)
Explanation: It seems like a textbook example of a "Finish-to-Start" reliance in this situation. Before Task B can begin, it is necessary for Task A to be finished successfully first. It's kind of like a relay race, where the next runner (Task B) won't be able to begin until the current runner (Task A) has handed over the baton.
41. Which of the following best describes the risk register in the risk management plan?
Answers
· An introduction to the conditions of the project and an outline of the potential risks
· A description of each risk, its risk rating, and a mitigation plan
· The measure of a risk calculated by its probability and impact.
· A list of general information such as the plan’s status, creation date, and uploaded date
Explanation: The risk register may be seen of as a superhero database that contains prospective project dangers. It is the part of the process in which you identify and describe all of the potential threats to your strategy. It contains details such as the nature of the risk, its possible effect, the possibility of it occurring, and the measures you have devised to deal with it. You may think of it as a reference manual that will help you deal with unforeseen challenges and keep your project on track.
42. Fill in the blank: A potential event that can impact your project if it occurs is called a(n) _____.
Answers
· delay
· issue
· risk
· problem
Explanation: The possibility of anything happening that may have an adverse effect on your project is referred to as a risk. It's kind of like the looming doubt that keeps project managers on their toes.
43. A major part of risk management is identifying potential problems. Which of the following is another critical aspect of risk management?
Answers
· Running practice situations where risks have become issues
· Encouraging risk early in a project
· Creating a plan for potential risks
· Reviewing past projects and reusing those risk management plans
Explanation: Identifying possible issues is very important, but it cannot be done by a single person alone. The process of mitigating risks, or developing a strategy to lessen the adverse effects or occurrences of those risks that have been recognized, is another essential component of risk management. It's similar to having a backup plan, which allows you to keep things running smoothly even if something unexpected happens to pop up.
44. You are identifying risks for an upcoming project. You have already planned for time risks and budget risks. Which of the following is another common type of risk?
Answers
· Scope risk
· Creeping risk
· Limiting risk
· Impact risk
Explanation: Another prominent form of risk in project management is one that pertains to the project's scope, in addition to time and budget hazards. This includes the possibility of modifications or ambiguities in the scope of the project, such as unanticipated additions or deletions of work. It is very necessary for the successful completion of a project to keep a close watch on scope creep and develop methods to effectively control it.
45. Fill in the blank: Once an organization has explored the inherent risks of a project, its willingness to accept the possible outcomes of those risks is known as _____.
Answers
· risk analysis
· risk appetite
· risk register
· risk assumption
Explanation: After an organization has investigated the potential dangers that are built into a project, they will have a better understanding of their risk tolerance, which refers to the degree to which they are ready to tolerate the potential consequences of those dangers. It's kind of like deciding how much of a challenge you want to take on for the trip; some companies thrive on excitement, while others are more comfortable taking things slowly.
46. Which of the following are examples of external risk? Select all that apply.
Answers
· A breakdown in communication among team members
· A change in regulatory requirements
· A project vendor goes out of business
· A deliverable takes longer than anticipated to complete
47. Which of the following best describes the risk register in the risk management plan?
Answers
· The measure of a risk calculated by its probability and impact.
· An introduction to the conditions of the project and an outline of the potential risks
· A description of each risk, its risk rating, and a mitigation plan
· A list of general information such as the plan’s status, creation date, and uploaded date
Explanation: The risk register may be seen of as a superhero database that contains prospective project dangers. It is the part of the process in which you identify and describe all of the potential threats to your strategy. It contains details such as the nature of the risk, its possible effect, the possibility of it occurring, and the measures you have devised to deal with it. You may think of it as a reference manual that will help you deal with unforeseen challenges and keep your project on track.
48. A project manager and a project sponsor are discussing their different risk appetites. What is risk appetite?
Answers
· A desire to incur extra risks
· A willingness to accept the possible outcomes of a risk
· The shifting of some risks to a different team
· The assumption of additional risks for added challenge
Explanation: The quantity and kind of risk that an organization or the stakeholders in a project are prepared to accept, endure, or avoid is referred to as risk appetite. Risk appetite may be compared to the taste profile of the project. When it comes to coping with unpredictability, it is ultimately a reflection of how daring or cautious people are as individuals. When a project manager and a sponsor debate the various levels of risk they are willing to take, they are essentially debating the level of heat that they want in the risk stew that they are preparing.
49. What are the most common types of risk that can impact projects?
Answers
· Time risks, budget risks, and external risks
· Budget risks, scope risks, and internal risks
· Budget risks, internal risks, and external risks
· Time risks, budget risks, and scope risks
50. A project manager communicates a newly discovered risk to a stakeholder. The project manager sends a direct email to stakeholders and includes “urgent” in the subject line. What level of risk are they likely writing about?
Answers
· Low-level risk
· Single point of failure risk
· High-level risk
· Medium-level risk
Explanation: When you add the word "urgent" to the subject line of an email, it conveys a feeling of how important and urgent the message is. When it comes to the management of projects and the transmission of risks, the word "urgent" in the subject line almost always signals a significant degree of risk. This indicates that the potential effect of the risk, as well as the possibility of its occurrence, is considerable, necessitating urgent attention and action by the stakeholders. It is the equivalent of raising the alarm to ensure that everyone is aware of the issue and is prepared to respond quickly to it.
51. A project manager writes a risk management plan. Currently, they are working on a description of each risk, its risk rating, and a mitigation plan. What is the name of this section in the risk management plan?
Answers
· Risk register
· Appendix
· Header
· Executive summary
Explanation: It seems as if the risk management plan's Risk Analysis and Mitigation section is currently being investigated by the project manager. At this point, they will break each risk down, evaluate its possible effect and probability (in the form of a risk rating), and then explain the strategies or activities that will be taken to manage or mitigate those risks. It serves as a kind of playbook for addressing the "what-ifs" and ensuring that the project is ready for any possible difficulties that may arise.