Free Project Risk Management Trivia Question and Answers

Question 1

You are the project manager for a huge, entirely new manufacturing facility. The project would use four sellers and is expected to cost US $30,000,000. The project cannot be stopped once it has started because there will be a significant investment in plant and equipment. It would be crucial for the project manager to carefully:

Accepted Answer

Perform an identification of risks

Answer

For a large, entirely new manufacturing facility with a significant investment and no possibility of stopping once started, the project faces extremely high inherent risks. Performing a thorough identification of risks early in the project lifecycle is crucial to understand potential threats and opportunities. This proactive step allows the project manager to plan appropriate responses and mitigate negative impacts before they jeopardize the project's success.

Question 2

Which process group includes the procedures of Manage Stakeholder Engagement and Implement Risk Responses?

Accepted Answer

Executing

Answer

The Executing Process Group is where the work defined in the project management plan is carried out. 'Manage Stakeholder Engagement' involves communicating and working with stakeholders to meet their needs and expectations, while 'Implement Risk Responses' involves putting planned actions into effect to address identified risks. Both of these activities are core to performing the project work.

Question 3

Considering that Analogous Cost Estimating is:

Accepted Answer

Generally less accurate

Answer

Analogous estimating, also known as top-down estimating, uses historical data from a similar past project to estimate the duration or cost of the current project. While quick and inexpensive, it is generally less accurate because it relies on high-level comparisons and doesn't account for unique differences between projects. It is best used in the early stages when detailed information is scarce.

Question 4

One of the risks your project team has identified is that the equipment your team is constructing won't work under extremely high pressure, which is one of the needs of the client. Your team decided to prototype the equipment to manage this risk on the basis of your recommendation as the project manager. What risk approach is demonstrated by this?

Accepted Answer

Mitigation

Answer

Risk mitigation involves taking steps to reduce the probability or impact of a negative risk event to an acceptable level. Prototyping the equipment to test its performance under high pressure directly aims to reduce the likelihood or consequence of the equipment failing in the client's required conditions. This proactive measure demonstrates a strategy to lessen the threat of equipment malfunction.

Question 5

Which of the following claims about risk management is accurate?

Accepted Answer

Risk register documents all the risks (positive or negative) in detail

Answer

The risk register is a comprehensive document that serves as a central repository for all identified risks throughout the project lifecycle. It details both threats (negative risks) and opportunities (positive risks), including their descriptions, causes, potential impacts, probabilities, owners, and planned responses. This ensures all risk information is documented and managed effectively.

Project Risk Management Practice Test

Project Risk Management Practice Test

Free Project Risk Management Trivia Question and Answers