Plan Risk Management Flashcards

What is the primary output of the Plan Risk Management process?

Answer: Risk management plan

The risk management plan is the sole output of the Plan Risk Management process.

When during a project should Plan Risk Management be performed?

Answer: Early in the project, completed before mid-project

Plan Risk Management should begin when the project is conceived and be completed early in the project.

Which document defines the methodology, roles, and timing for risk activities?

Answer: Risk management plan

The risk management plan describes how risk management activities will be structured and performed.

What does 'risk appetite' describe in risk management planning?

Answer: The degree of uncertainty an organization is willing to accept in anticipation of reward

Risk appetite is the level of uncertainty an entity is willing to take on in anticipation of a reward.

Which technique is commonly used to develop the risk management plan?

Answer: Expert judgment and meetings

Expert judgment, data analysis, and planning meetings are key tools for Plan Risk Management.

What does 'risk threshold' represent?

Answer: The level of risk exposure above which action is required

A risk threshold is the level of exposure above which risks are addressed and below which they may be accepted.

Which input provides the overall risk attitudes and tolerances of stakeholders?

Answer: Enterprise environmental factors

Enterprise environmental factors include stakeholder risk appetites and tolerances that shape planning.