_____ risks refer to those that are direct results of implementing risk responses.

A project manager's work should not focus on dealing with problems; it should focus on _________ ______.

Through ______ ______, the project changes from being in control of the project manager to the project manager being in control of the project.

Risk management saves _______ and _______.

Plan risk management, identify risks, perform qualitative risk analysis, perform quantitative risk analysis, and plan risk responses occur during the _________ process group.

Monitor and control risks occurs during the ________ and _______ process group.

Monitoring and controlling

Through risk management, you work to increase the probability and impact of _______ on the project, whilde decreasing probability and impact of ________ to the project.

_______ are identified and managed starting in initiating and are continually kept up-to-daate or added to while the project is under way.

The project manager and team look at the future and _____________ the threats and opportunities.

Project background information will help ____ ______.

Historical records from previous projects includes records that may have information about:

risks from past, similar projects.

________ _____ tell you what teams would do differently if they could do their projects again.

Company _______ and _______ may help identify additional risks.

________ ______ ________ is about knowing the areas of risk the organization is willing to accept and helps identify the impacts of risks, the highest ranked risks, and which risks response strategies you will use.

Organizational risk tolerances

_________ _______ ________ are about knowing the point at which risk becomes unacceptable and helps identify the impact of risks and which risk response strategies you will use.

Organizational risk thresholds

Company culture cand add _______ and should be considered when identifying _____.

The _______ _____ helps you see if the overall project objectives are generally risky or not and it helps identify risks based on what is and what is not included in the project.

The ______ ______ _____ documents the project and product scope and deliverables. This information can help you assess how complex the project will be and what level of risk management effort is appropriate.

The project scope statement also contains information about________, _________, and ________ which can indicate risks for the project

- boundaries

- constraints

- assumptions

A _______ approach and the ability to share risk management responsibilities make the risk management process more accurate and timely.

The _____ is needed because risk must be specific, not general. They should be identified at the work package level in addition to the project level.

The ________ ______ is the only place where paths that converge into one activity can be seen. Such path convergence makes the activity riskier than if there was no path convergence.

The network diagram helps determine the critcal path. The __________ the schedule, the more risk the project has.

Knowing ______ and ______ estimates helps you determine the risk of the project not meeting the schedule and cost objectives.

Initial time and cost estimates are an input to ______ _____, and detailed estimates are an out put of risk management.

The final cost and schedule cannot be determined without including _______ ______.

The number one problem many people have on project is poor __________.

There is a strong connection between planning communication and decreasing ____.

The ______ _____ plan describes what resources are available. Knowing this information will help you identify risks related to _______.

- Staffing Management

- resources

______ are a way to mitigate or transfer risks in risk response planning.

_______ will view the project from different perspectives and thus will be able to see risks that the team cannot.

Plan risk management, identify risks, perform qaulitative risk analysis, perform quantitative risk analysis, plan risk response, and monitor and control risk responses are the sequential ____ _______ processes.

The risk management process is very _______.

Risk management efforts should be appropriate to the ____ and ___ of the project, as well as the experiance and skill level of the project team.

The _______ _______ ________ process answers the ques5tion of hou much time should be spent on risk management based on the needs of the project.

_________ defines how you will perform risk management for the particular project.

Methodology, roles & responsibilities, budgeting, timing, risk catetgories, definitions of probability and impact, stakeholder tolerance, reporting formats, and tracking are all included in the ______ _____ ______.

Risk management should start ____________________ and should be repeated throughout the life of the project, since new risks can be identified as the project progress and and degree of risk may change.

as soon as you have the appropriate inputs

The _________ and the probability and impact matrix help standardize interpretations and also help compare risks between projects.

Stakeholder ________ should not be implied, but uncovered in project initiating and clarified or refined continually.

________ means how the risk process will be audited, and the documentation of what happens with risk management activities.

Use a standard list of ________ ______ to make sure areas of risk are not forgotten.

________ _______ are lists of broad, common areas or sources of risk experianced by the company or on similar projects.

__________ risks are regulatory, environmental, government, market shifts.

______ risks include time, cost, or scope change; inexperiance; poor planning; people; staffing materials; and equipment.

________ risks include changes in technology.

__% of risks are actually unforseeable.

Another way to categoriaze risks is by ________ such as schedule, cost, scope, resources, and customer satisfaction.

Identifying risk based on ________ ________ of that may occur on your company projects such as: the customer; lack of project management effort; lack of knowledge of project management; suppliers, resistance to change, cultural differences, etc is a good way to categorize risks.

Expect the terms, "sources of risk" and "________" to be used interchangeably.

_________ risks is a risk of a gain or loss.

_______ (Insurable) risk is only a risk of a loss (i.e., fire, theft, personal injury, etc.)

If you are asked something like who should be involved in risk identification, the best answer is _________.

The PMBOK Guide (c) lists high-level ______ as an output of the creation of the project charter in integration management.

Those involved in risk identification might look at project documentation , as well as___________ _________, articles and other documents, to help uncover risks.

Specifically look to include __________ ____ in such activities as integrated change control, when working with resources, and when dealing with project issues.

Because risk identification primarily occurs during the _________ and ______ process groups, it has often been said that the major part of risk identification happens at the onset of the project.

Brainstorming, delphi technique, interviewing, and root cause analysis are ________ ________ techniques.

_________ _______ is used to build consensus of experts who participate anonymously.

________ _____ ______ is reorganizing the identified risk by it's root causes to help identify more risks.

___________ looks at the project to identify its strength and weaknesses and thereby identify risks (opportunities and threats).

Strengths, Weaknesses, Opportunities, and Threats (SWOT)

Analyzing what _______ have been made on the project and if they are valid may lead to identification of more risks.

___________ techniques include cause and effect diagrams and flowcharts.

The _______ _______ is the place where most of the risk information is kept and becomes part of the project documents and is also included in historical records.

The risk register includes lists of risks, list of potential responses, root causes of risks, and _______ ____ ______.

________ risk analysis involves creating a short list of the previously identified risks. The shortlisted risks will then be further analyzed in the Perfrom Quantitative Risk Analysis process or will move into the the Plan Risk Response process.

Qualitative risk analysis is a ____________ analysis of the risks identified.

To perform qualitative risk analsyis determines ____________________ and _________.

the probability or each risk occuring and the impact of each risk occuring.

The __________ and ______ matrix is used to sort or rate risks to determine which ones warrant an immediate response and which ones should be put on the watch list.

Use of a standardized matrix makes the risk rating process more __________ between projects.

The ________ ________ _____ Assessment asks, "How accurate and well understood is the risk information?"

A risk data quality assessment may include determining the following of each risk: exent of the understanding of the data; data available about the risk; quality of the data; and ____________.

reliability and integrity of the data.

Risk _______ asks, "What will we find if we regroup risks by categories? By work packages?"

________ risks may move right into risk response planning while the rest continue through quantatiive risk analysis, or they may simply be the first ones for which you plan a response in risk response planning.

________ risks analysis can lead to a number to be used to rank the project in comparison to others.

The _______ ________ is updated to add the results of the qualitative analysis to include:

Risk ranking for the project compared to other projects

List of prioritized risks and their probability and impact ratings

Risks grouped by categories

List of risks requiring additional analysis in the near term

List of risks for additional analysis and response

Watchlist

Trends

Qualitative risk analysis can be used to: compare the risk of the project to ther overall risk of other projects; determine whether the project should be selected, continued or terminated; and to ________________________.

determine whether to proceed to the the Perform Quantative Risk Analysis or Plan Risk Responses processes

The Perform Quantative Risk Analysis involves a ____________ analyis of the probability and impact of the risks moved forward to this process from qualitative risk analysis

The purpose of __________ risk analysis is to:

- Determine which risks events warrant a response.

- Determine overall project risk (risk exposure)

- Determine the quantified profitability of meeting project objectives

- Determine cost and schedule reserves

- identify risks requiring the most attention

- Create realistic and achievable cost, schedule, or scope targets.

We always do qualitative risk analysis, but quantitative risk analysis is not required for all projects and may be skipped in favor of moving on to _______ ______ _________.

You should proceed with quantitative risk analysis only if it is worth the ____ and ____ on your project.

The following are part of _______ risk analysis:

Further investigating the highest risks on the project

- Determining the type of probability distribution that will be used (triangular, normal, beta, uniform, or log nornal distributions)

- perfroming sensativity analysis to determine which risks have the most impact on the project

- Determining how much quantified risk the project has through expected monitary value analysis or Monte Carlo analysis.

Quantitative probability and _________ can be determined in various ways, including the following:

- interviewing

- cost and time estimating

- use of historical records from previous projects

- expert judgement

- expcted monitary value analysis

- Monte Carlo analysis

- Decision Tree analysis

Expected Monitary Value (EMV) is simply the probability (P) times _______.

_______ _____ uses the network diagram and estimates to perform the project many times and to simulate the cost or schedule results of the project.

Monte Carlo analysis is usually done with computer-based program, evaluates the overall risk in the project, provides the probability of completng the proejct on any specific day, or for any specific cost, provides the probability of any activity actually being on the critical path, takes into account path convergences, translates uncertainties into impacts to the total project, can be used to assess cost and schedule impacts, and results in a ______ ______.

_______ _______ are models of real situations and are used to make informed decisions about things such as, "Which option should I choose?' or "How will I solve this problem?" by taking into account the associated risks, probabilities and impacts.

A _________ _______ takes into account future events in trying to make a decision today.

A decision tree calculates the ______ ______ ______ in more complex situations.

A decision tree involves mutual ___________.

The risk register is updated to add the results of quantitative risk anlaysis to include:

Prioritized lists of quantified risks

- Amount of contingency time and cost reserves needed

- Possible realistic and achievable completion dates and project costs, with confidence levels vs. the time and cost objectives for the project, the quantified probability of meeting project objectives, and ______________________.

________ _______ ____ is figuring out "What are we going to do about each top risk?"

The power or risk response planning is that while you are still planning the project, your are:

eliminating problems so they cannot happen

The best answer to a question describing a major problem on the project would be the choice that talks about implementing the _______________, rather than the choice that talks about discussing prossible solutions tothe problem after it has occured.

_________ Elimate the threat by eliminating the cause.

______ reduces the probability or the impact of a threat, thereby making it a smaller risk and removing it from the list of top risks on the project.

____________ makes another party responsible for the risk by purchasing insurance, performance bonds, warranties, guarantees, or outsourcing work.

__________ exchanges and unknown risk for a known risk.

_________ risk will leave some risk behind.

______ adds work or changes the project to make sure the opportunity occurs.

______ increases the likelihood and/or positive impacts of the risk event.

_______ allocates ownership of the opportunity to a 3rd party that is best able to achieve the opportunity.

Threat and opportunity strategies must be ________.

Your possible risk response strategies must be communicated to management, stakeholders, and the _______.

________ about risk is essential in order to gain buy-in tot he strategy.

Removing a work package or activity from the project is an example of ____.

Assigning a team member to visit the seller's manufacturing facilities frequently to learn about a problem with delivery as early as possible is an example of _____.

Moving a work package to a date when a more experianced resource is available to be assigned to the project is an example of _________.

Begining negotiations for the equipment earlier than planned so as to secure a lower price is an example of ____.

Outsourcing a work package so as to gain an opportunity is an example of _____.

Notifying management that there could be a cost increase if a risk occur because no action is being taken to prevent the risk is an example of ________.

Removing a troublesome resource from the project is an example of ____________.

Providing a team member who has limited experiance with additional training is an example of ________.

mitigating probabilty of risk

Training the team on conflict resolution strategies is an example of _________.

Outsourcing difficult work to a more experianced company is an example of __________.

Asking the client to handle some of the work is an example of __________.

Prototyping a risk piece of equipment is an example of ___________.

The outputs of the Plan Risk Responses process are:

the updates to the risk register nd other items to include project managent plan updates as well as project document updates.

The efforts spent in risk management will result in changes to the project management plan. ____________ _________ or activities should be added, removed, or assigned to different resources.

________ risks are the risks that remain after risk response planning.

Residual risks are also risks that have been _________ and for which contingency plans and fallback plans can be created.

Residual risks should be properly documented and reviewed throughout the project to see if their ______ has changed.

_________ _______ are plans describing the specific actions that will be taken if the threat or opportunity occurs.

Each _____ must be assigned to someone who may help develop the risk response and who will be assigned to carry out the ____.

A ________ risk is created by implementing selected risk response strategies and should be part of risk response planning.

Risk ________ are events that trigger the contingency response.

The project manager will complete a risk analysis and include ___ _____ and conditions required to mitigate or allocate threats and to enhance opportunities.

_____ plans are specific actions that will be taken if the contingency plan is not effective.

______ reserves count for "known unknowns" (or simply unknowns); these are items you identified in risk management. They cover residual risks in the project.

________ reserves count for "unknown unknowns" (or simply "unknowns"); theser are items you did not or could not identify in risk management.

_____ are not an additional cost to the project, they are part of the baseline cost.

What do you do with non-critical risks?

Document them in a watchlist, and revisit them periodically.

Would you choose only one risk response strategy?

What risk management activities are done during the execution of the project?

Watching out for watchlisted (non-critical) risks that increase in importance.

What is the most important item to address in project team meetings?

How would risks be addressed in project meetings?

By asking, "What is the status of risks? Are there any new risks? Is there any change to the order of importance?"

Project manager who do not perform _______ _______ spend most of their time creating work arounds.

A result of ________ ______ may be additional qualitative or quantitative risk analysis, ws well as further risk response planning.

Risk ____ are evidence of how seriously risk should be taken on a project.

The closing of ________ allows the team to focus on managing those risks that are still open.

_________ analysis while the work is being done is simply a matter of checking to see how much __________ remains and how much might be needed.

Asking for additional ______ cand indicate the project manager has not properly planned and managed the project. This is not an acceptable thing to do.

The _____ and _____ process will add the following to the risk register:

- Outcomes of the risk reassessments and risk audits

- Updates to previous parts of risk management, including the identification of new risks

- Closing of risks that are not longer applicable

- Details of what happened when risks occurred

- Lessons learned

Montioring and Controlling

Risk monitoring and control might also affect the roles and __________ on a project, the stakeholder management strategy, and the quality metrics.

Risk monitoring and control can result in updates to the schedule, cost, quality, and procurement management plans, as well as the human resource plan, WBS and the time and _______ baselines for the project.

The risk process will lead to the creation of risk _____, such as a risk register inlcuding project risks and risk responses, checklists, and other data to be used as historical records or future projects.

All of the following are factors in the assessment of project risk EXCEPT:

A. Risk event

B. Risk probability

C. Amount at stake

D. Insurance premiums

D. Insurance premiums as they only come in to play when you determine which risk response strategy you will use.

If a project has 60% of a $100K profit and a 40% chance of a $100K loss, the expected monetary value for the project is.

A. $100K profit

B. $60K profit

C. $20K profit

D. $40K profit

Assuming that the ends of range of estimates are +/- 3 sigma from the mean, which of the following range estimates involves the LEAST risk?

A. 30 days, plus or minus 5 days

B. 22-30 days

C. Optimistic = 26 days, most likely = 30 days, pessimestic = 33 days.

D. Mean of 28 days

C. Optimistic = 26 days, most likely = 30 days, pessimestic = 33 days.

Which of the following risk events is MOST likely to interfere with attaining a project's schedule objective?

A. Delays in obtaining required approvals.

B. Substantial increases in the cost of purchased materials.

C. Contract disputes that generate claims for increased payments.

D. Slippage of the planned post-implementation

A. Delays in obtaining required approvals. This is the only answer that deals with delays.

If a risk has a 20% chance of happening in a given month, and the project is expected to last five months, what is the probability that this risk event will occur during the fourth month of the project?

A. Less than 1%

B. 20%

C. 60%

D. 80%

B. 20% - If there is a 20% chance in any one month, the chance in the fourth months must therefore be 20%

If a risk event has a 90% chance of occuring, and the consequences will be $10K, what does $9K represent?

A. Risk value

B. Present value

C. Expected monetary value

D. Contingency Budget

C. Expected monetary value

Risks will be identified during which risk management process(es)?

A. Perform Quantitative Risk Analysis and Identify Risks

B. Identify Risks and Monitor and Control Risks

C. Perform Qualitative Risk Analysis and Monitor and Control Risks

D. Identify Risks

B. Identify Risks and Monitor and Control Risks - Risks are identified during the Identify Risk Process, naturally, but newly emerging risks are identified in the Monitor and Control Risk process.

What should be done with risks on the watchlist?

Document and revisit during project monitoring and controlling.

All of the following are ALWAYS inputs to the risk managment process EXCEPT:

A. Historical information

B. Lessons learned

C. Work breakdown structure

D. Project status report

D. Project status report - as they are not always an input to risk management.

Risk tolerances are determined in order to help:

A. The team rank the project risks.

B. The project manager estimate the project.

C. The team schedule the project.

D.Management know how other managers will act on the project.

A. The team rank the project risks. If you know the tolerances of stakeholders, you can determine how they might react to different situations and risk events. You use this informatin to help assign levels of risk on each work package or activity.

All of the following are common results of risk management except:

A. Contract terms and conditions are created

B. The project management plan is changed.

C. The communications management plan is changed.

D. The project charter is changed.

D. The project charter is changed.

Purchasing insurance is BEST considered an example of:

A. Mitigation

B. Transfer

C. Acceptance

D. Avoidance

You are finding it difficult to evaluate the exact cost impact of risks. You should evaluate on a(n):

A. Quantitative basis

B. Numerical basis

C. Qualitative basis

D. Econometric basis

Outputs of the Plan Risk Responses process include:

A. Residual risks, fallback plans, and contingency reserves.

B. Risk triggers, contracts, and a risk list.

C. Secondary risk, process updates, and risk owners.

D. Contingency plans, project management plan updates, and change requests.

A. Residual risks, fallback plans, and contingency reserves.

Workarounds are determined during which risk management process?

A. Identify risks

B. Perform Quantitative Risk Analysis

C. Plan Risk Responses

D. Monitor and Control Risks

D. Monitor and Control Risks. A workaround refers to determining how to handle a risk that occurs but is not included in the risk register. The project must be in the Monitor and Control Risks process if risks have occurred.

During which risk management process is a determination to transfer a risk made?

A. Identify Risks

B. Perform Quantitative Risk Analysis

D. Monitor and Control Risks

C. Plan Risk Responses. Transference is a risk response strategy.

A project manager has just finished the risk response plan for a $387,000 engineering project. Which of the following should he probably do next?

A. Determine the overall risk rating of the project.

B. Begin to analyze the risks that show up in the project drawings.

C. Add work packages to the project work breakdown structure.

D. Hold a project risk reassessment.

C. Add work packages to the project work breakdown structure. Only this answer is part of iterations

A project manager asked various stakeholders to determine the probability and impact of a number of risks. He then analyzed assumptions. He is about to move to the next step of risk management. Based on this information, what has the project manager forgotten to do?

A. Evaluate trends in risk analysis

B. Identify triggers

C. Provide a standardized risk rating matrix

D. Create a fallback plan.

C. Provide a standardized risk rating matrix -

A project manager has assembled the project team, identified 56 risks on the project, determined what would trigger the risks, rated them on a risk rating matrix, tested their assumptions, and assessed the quality of the data used. The team is continuing to move through the risk management process. What has the project manager forgotten to do?

A.Simulation

B. Risk mitigation

C. Overall risk ranking for the project

D. Involvement of other stakeholders.

D. Involvement of other stakeholders. Input from the stakeholders is needed.

You are a project manager for the construction of a major new manufacturing plant that has never been done before. The project cost is estimated at $30M and will make use of three sellers. Once begun, the project cannot be cancelled, as there will be a large expenditure on plant and equipment. As the project manager it would be MOST important to carefully.

A. Review all cost proposals from the sellers.

B. Examine the budget reviews.

C. Complete the project charter.

D. Perform an identification of risk.

D. Perform an identification of risk. Risk identification is the most proactive response and would have the greatest impact on the project

During the Plan Risk Management Process, your team has come up with 434 risks and 16 major causes of those risks. The project is the last of series of projects that the team has worked on together. The sponsor is very supportive, and a lot of time was invested in making sure the project work was complete and signed off by all key stakeholders. During project planning, the team cannot come up with an effective way to mitigate or insure against a risk. It is not work that can be outsourced, nor can it be deleted. What would be the BEST solution?

A. Accept the risk

B. Continue to investigate ways to mitigate the risk.

C. Look for ways to avoid the risk.

D. Look for ways to transfer the risk.

A project manager is quantifying risk for her project. Several of her experts are offsite, but wish to be included. How can this be done?

A. Use Monte Carlo analysis

B. Apply the critical path method

C. Determine options for recommended corrective action

D. Apply the Delphi technique.

D. Apply the Delphi technique.

An experianced project manager has just begun working for a large information technology integrator. Her manager provides her with a draft project charter and immediately asks her to provide an analysis of the r isks on the project. Which of the following wold BEST help in this effort?

A. An article from PM Network Magazine

B. Her project scope statement from the project planning process.

C. Her resources plan from the project planning process.

D. A conversation with a team member from a similar project that failed in the past.

D. A conversation with a team member from a similar project that failed in the past as information gained is more specific to my company.

You have been appointed as the manager of a new large, and complex project. Because this project is business-critical and very visible, senior management has told you to analyze t he project's risks and prepare response strategies for them as soon as possible. the organization has risk management procedures that are seldom used or followed, and has had a history of handling risks badly. The project's first milestone is in two weeks. In preparing the risk response plan, input from which of the following is generally LEAST important?

A. Project team members

B. Project sponsor

C. Individuals responsible for risk management policies and templates

D. Key stakeholers

B. Project sponsor as they are not generally major contributors to risk response plans.

You were in the middle of a two-year project to deploy new technology to field offices across country. A hurricane caused power outages just when the upgrade was near completion. When the power was restored, all of the project reports and historical data were lost with no way of retrieving them. What should have been done to prevent this problem?

Monitor the weather and have a contingency plan.

A system development project is nearing project closing when a previously unidentified risk is discovered. This could potentially affect the project's overall ability to deliver. What should be done NEXT?

A. Alertt he project sponsor of potential impacts to cost, scope, and schedule.

B. Qaulify the risk.

C. Mitigate this risk by developing a risk response plan.

D. Develop a workaround.

B. Qaulify the risk. You would need to analyze the problem before you would talk tothe sponsor and you could not mitigate the risk until you qualified it. A workaround is an unplanned response to a risk that is occuring. This risk is identified, not occuring, so theree is no need to take action by creating a workaround. Qualifying the risk will give you an indication of how great the risk is. That information will help you determine how to proceed.

The cost performance index (CPI) of a project is 0.6 and the schedule performance index (SPI) is 0.71. The project has 625 work packages and is being completed over a four-year period. The team members are very inexperianced, and the project received little support for proper planning. Which of the following is the BEST thing to do?

A. Update risk identification and analysis

B. Spend more time improving the cost estimates

C. Remove as many work packages as possible.

D. Reorganize the responsibility assignment matrix.

A. Update risk identification and analysis because the project has deviated so far from original project baseline.

while preparing your risk responses, you identify additional risks. What should you do?

A. Add reserves to the project to accomodate the new risks and notify management.

B. Document the risk items, and calculate the expected monetary value based on probability and impact that result from the occurences.

C. Determine the risk events and the the associated cost, then add the cost to the project budget as reserve.

D. Add a 10% contingency to the project budget and notify the customer.

B. Document the risk items, and calculate the expected monetary value based on probability and impact that result from the occurences.

When a new risk is identified, it should go9 through the risk management process.

You have just been assigned as the project manager for a new telecommunications project that is entering the second phase of the project. There appear to be many risks on this project, but no one has evaluated them to assess the range of possible project outcomes. What needs to be done?

A. Plan Risk Management

B. Perform Quantitative Risk Analysis

C. Plan Risk Responses

D. Monitor and Control Risks

During the project executing, a team member identifies a risk that is not in the risk register. What should you do?

A. Get further information on how the team member identified the risk, because you already performed a detailed analysis and did not identify this risk.

C. Inform the customer about the risk.

D. Analyze the risk.

D. Analyze the risk. First, you want to determine what the risk entails and the impacts to the project, then determine what action you will take regarding the risk.

During project executing, a major problem occurs that was not included in the risk register. What should you do first?

A. Create a workaround

B. Reevaluate the Identify Risk process

C. Look for any unexpected effects of the problem.

D. Tell management

The customer requests a change to the project that would increase the project risk. Which of the following should you do before all the others?

A. Include the expected monetary value of the risk in the new cost estimate.

B. Talk to the customer about the impact of the change.

C. Analyze the impacts of the change with the team.

D. Change the risk management plan.

C. Analyze the impacts of the change with the team.

Which of the following is a chief characteristic of the Delphi technique?

A. Extrapolation from historical records from previous projects.

B. Expert opinion

C. Analytical hierarchy process

D. Bottom-up approach

A project has had some problems, but now seems under control. In the last few months, almost all the reserve has been used up and most of the negative impacts of events that had been predicted have occured. There are only four activities left, and two of them are on the critical path. Management now informs the project manager that it would be in the performing organization's best interest to finish the project two weeks earlier than scheduled in order to receive an additional profit. In response, the project manager sends out a request for proposal for some work that the team was going to do, in the hopes that another company might be able to do the work faster. The project manager can BEST be said to be attempting to work with:

A. Reserve

B. Opportunities

C. Scope Verification

D. Threats

B. Opportunities as the project manager is working to make a positive impact on the project more likely to occur.

Monte Carlo analysis is used to:

A. Get an indication of the risk involved in the project.

B. Estimation of the risk involved in the project

C. Simulate the order in which activies occur

D. Prove to management that extra staff is needed.

A. Get an indication of the risk involved in the project.

By considering inputs to the PERT estimates and the network diagram, you can obtain a better overview of the overall project risk.

A project team is creating a project management plan when management asks them to identify project risks and provide some form of qualitative output as soon as possible. What should the project team provide?

A. Prioritized list of project risks.

B. Risk triggers

C. Contingency reserves

D. Probability of achieving the time and cost objectives.

A. Prioritized list of project risks. The question really asks, "What is an output of the Perform Qualitative Risk Analysis process?"

A project manager is creating a risk repsponse plan. However, every time a risk response is suggested, another risk is identified that is caused by the response. Which of the following is the BEST thing for the project manager to do?

A. Document the new risks and continue the Plan Risk Response process.

B. Make sure the project work is better understood

C. Spend more time making sure the risk responses are clearly defined.

D. get more people involved in the Identify Risk process, since risks have been missed.

A. Document the new risks and continue the Plan Risk Response process.

A watchlist is an output of which risk management process?

A. Plan Risk Responses

B. Perform Quantitative Risk Analysis

C. Preform Qualitative Risk Analysis

D. Plan Risk Management

C. Preform Qualitative Risk Analysis

During the Identify Risk process, a project manager made a long list of risks identified by all the stakeholders using various methods. he then made sure that all the risks were understood and that triggers had been identified. Later, in the Plan Risk Response process, he took all the risks identified by the stakeholders and determined ways to mitigate them. What has he done wrong?

A. The project manager should have waited until the Perform Risk Response process.

B. More people should be involved in the Plan Risk Response process.

C. The project manager should have created workarounds.

D. Triggers are not identified until the Identify Risks process.

B. More people should be involved in the Plan Risk Response process.

What MUST be an agenda item at all team meetings.

Discussion of project risks.

Which risks are direct results of implementing risk responses?

Which risks are direct results of implementing risk responses primary secondary architectural residual?

Which are unplanned responses to risk events?

What is risk quizlet risk management?