CMP CMP Risk Management & Mitigation 1 — Questions and Answers
Question 1: Which risk assessment framework categorizes capture risks by probability and impact on a two-axis grid?
- Risk matrix (heat map) (Correct answer)
- SWOT analysis
- Gantt chart
- Earned value management
Correct answer: Risk matrix (heat map)
A risk matrix plots probability against impact to help teams prioritize which capture risks require the most urgent mitigation.
Question 2: What is the primary purpose of a risk register in a capture plan?
- Document identified risks and mitigation strategies (Correct answer)
- Track competitor pricing
- Schedule proposal milestones
- List team member responsibilities
Correct answer: Document identified risks and mitigation strategies
A risk register records each identified risk along with its owner, likelihood, impact, and mitigation plan in one central document.
Question 3: Which risk response strategy involves shifting the financial or operational burden of a risk to a third party through subcontracting or insurance?
- Risk avoidance
- Risk transfer (Correct answer)
- Risk acceptance
- Risk reduction
Correct answer: Risk transfer
Risk transfer moves the exposure to a party better positioned to manage it, such as subcontracting a high-risk technical component to a specialist.
Question 4: In capture planning, a 'Black Swan' event is best described as:
- A highly improbable, high-impact event that is difficult to predict (Correct answer)
- A guaranteed contract loss to a competitor
- A government-mandated bid requirement
- A routine risk identified in every proposal
Correct answer: A highly improbable, high-impact event that is difficult to predict
Black Swan events are rare, unpredictable occurrences with significant consequences that fall outside normal risk expectations.
Question 5: What does 'risk appetite' define in the context of capture management?
- The level of risk an organization is willing to accept in pursuing a contract (Correct answer)
- The total budget allocated to risk mitigation activities
- The number of risks identified during a gate review
- The minimum probability threshold for formally reporting a risk
Correct answer: The level of risk an organization is willing to accept in pursuing a contract
Risk appetite guides bid/no-bid decisions by defining how much uncertainty the organization is prepared to tolerate when pursuing an opportunity.
Question 6: Which ongoing capture management practice involves continuously monitoring risk indicators throughout the entire pursuit lifecycle?
- Risk surveillance (Correct answer)
- Black-hat review
- Storyboarding
- Price-to-win analysis
Correct answer: Risk surveillance
Risk surveillance ensures emerging threats are detected and addressed before they derail the capture effort, rather than being assessed only at the start.
CMP CMP Risk Management & Mitigation 1
Which risk assessment framework categorizes capture risks by probability and impact on a two-axis grid?