Government Procurement Certification Government Procurement Risk Management & Mitigation 1

Question 1

Which risk assessment technique assigns probability and impact scores to identify the highest-priority procurement risks?

Accepted Answer

Risk probability-impact matrix

Answer

A risk probability-impact matrix plots likelihood against consequence to prioritize which procurement risks require the most attention.

Question 2

Under the FAR, a Contracting Officer's Representative (COR) is primarily responsible for which risk-related duty?

Accepted Answer

Monitoring contractor performance to catch early warning signs of risk

Answer

The COR monitors day-to-day contractor performance so that emerging risks can be identified and escalated before they become serious problems.

Question 3

What is the primary purpose of a government procurement risk register?

Accepted Answer

To document identified risks, their likelihood, impact, and mitigation strategies

Answer

A risk register is a living document that captures each identified risk along with its probability, potential impact, owner, and planned response.

Question 4

Which mitigation strategy transfers financial risk from the government to the contractor by using a firm-fixed-price contract?

Accepted Answer

Risk transfer

Answer

A firm-fixed-price contract shifts cost risk to the contractor because the government pays an agreed price regardless of the contractor's actual costs.

Question 5

Which contract type is best suited when the government wants to share cost risk with a contractor on a high-uncertainty development effort?

Accepted Answer

Cost-plus-incentive-fee

Answer

A cost-plus-incentive-fee contract reimburses actual costs and ties the fee to performance, sharing risk between the government and contractor on uncertain efforts.

Government Procurement Certification Practice Test

Government Procurement Certification Practice Test

Government Procurement Certification Government Procurement Risk Management & Mitigation 1