CSC Risk Management & Problem-Solving 3

Question 1

Which risk response is MOST appropriate when the probability and impact of a risk are both very low?

Accepted Answer

Accept

Answer

Accepting a low-probability, low-impact risk is cost-effective since the effort to mitigate or transfer it would likely exceed the potential loss.

Question 2

A senior consultant must recommend a solution when stakeholders have conflicting priorities. Which problem-solving approach is MOST effective?

Accepted Answer

Use a weighted decision matrix to evaluate options against agreed criteria

Answer

A weighted decision matrix provides objective, transparent scoring against criteria that all stakeholders help define, reducing bias in the decision.

Question 3

What is the difference between a 'risk' and an 'issue' in project management?

Accepted Answer

A risk is a future uncertain event; an issue is a problem that has already occurred

Answer

A risk is a potential future event that may or may not occur, while an issue is a current problem actively affecting the project.

Question 4

Which type of risk involves the possibility of both a gain and a loss?

Accepted Answer

Speculative risk

Answer

Speculative risks carry the possibility of either a positive (upside) or negative (downside) outcome, unlike pure risks which only result in loss.

Question 5

After implementing a risk response plan, some level of risk still remains. This is known as:

Accepted Answer

Residual risk

Answer

Residual risk is the remaining exposure after risk responses have been applied and should be documented and monitored.

(CSC) Certified Senior Consultant Practice Test